Asia's energy landscape is at a pivotal juncture, with the region currently accounting for 46% of global energy consumption and on a firm path to  need half of the world’s energy within the coming year, according to the World Economic Forum. Energy demand in Asia is set to grow by at least 3% annually until 2030 and could double by 2050 compared to 2020 levels. This presents an unprecedented opportunity for Asia to lead the global energy transition and adopt the most advanced power technology at scale to set new trends in the energy industry.

Treading the energy transition journey would not only deliver multiple economic and environmental benefits for Asian countries, but also address broader global climate change targets, such as reducing worldwide greenhouse gas emissions by more than 45% to meet the United Nations’ 2030 targets[1]. However, the urgent need to decrease emission levels is only part of the challenge. There is also a pressing issue to solve Asia’s requirement for reliable and cost-efficient power generation capacity, and to mitigate intermittency and power supply challenges as renewable energy sources become more integrated into the energy mix, while transitioning from coal-based power.

Net Zero Priorities

Asia's energy transition is characterized by a combination of unique market trends, geopolitical influences and the region’s emerging economic and environmental challenges. To achieve net zero emission targets having the right energy mix is key – increasing renewables, coal-to-gas power switching, deploying carbon capture technology, using carbon-free fuels like hydrogen and ammonia in gas turbines to generate reliable and flexible power, adopt pumped-hydro, battery storage, small nuclear reactor technologies and so on.  

Even among Asian countries, priorities are vastly different. For example, in case of Singapore, all the focus is on the SG Green Plan 2030. This ambitious plan sets solid targets over the coming decade to strengthen the nation’s commitments under the United Nations 2030 Sustainable Development Agenda and Paris Agreement so that Singapore can achieve its long-term net zero emissions targets by 2050. Singapore already has a new Government registry that helps listed companies convert operational data into accurate greenhouse gas emissions figures to aid the pursuit of net-zero goals.

In Malaysia, the Government has announced an ambitious green investment target of RMB300 million by 2030 to achieve the country’s goal to cut carbon intensity by 45% by 2030 compared to 2005 levels.

Far east in Japan, the efforts on decarbonization are focused on three core industries - energy, transport and manufacturing - to help address the energy transition and its own net zero goals.

In the Republic of Korea, heavy investments are seen in carbon-free power generation with plans to add four new nuclear plants, triple the solar and wind power capacity, and replace aging coal powered plants with cleaner alternatives.

India has set ambitious targets for its renewable energy expansion to 500 GW by 2030 and is focusing efforts on becoming a global hydrogen hub. Countries, including Australia, Japan, India, New Zealand and the Republic of Korea, are considering green hydrogen policies to fuel decarbonization.

One consideration that is common across the Asian and the broader Pacific region is, as renewable energy sources become more integrated, the risk of supply intermittency grows, which jeopardize the plan to move away from coal. Volatile price markets add another layer of complexity, raising critical questions about how best to deploy technology and infrastructure to meet increasing electricity demand, drive economic growth, and simultaneously decarbonize local economies.

Despite these concerns, Asian countries clearly recognize that the energy transition is the next investment super-cycle, with power systems changing at an unprecedented pace since the inception of the electric utility industry over a century ago.

Technology Innovations in Asia’s energy ecosystem

Advancements in renewable energy technologies, such as solar and wind power, are driving the transition away from fossil fuels. The region is also witnessing significant progress in solutions with low carbon fuels such as ammonia and hydrogen. Ammonia, a versatile energy carrier with a high energy density, is emerging as a promising alternative to fossil fuels, particularly in sectors like transportation and power generation. Hydrogen, another low-carbon energy source, is gaining traction due to its potential for decarbonizing industrial processes and providing a flexible energy storage solution. Meanwhile, the carbon market is evolving rapidly, offering innovative solutions for carbon capture, utilization, and storage (CCUS) technologies. These developments collectively underscore Asia’s commitment to a sustainable energy future and clean energy innovation.

Grid Modernization is an imperative for Net Zero

Grid infrastructure plays a pivotal role in Asia's journey towards net-zero emissions. Multiple dynamics are affecting the grid of the future. Increasing generation from variable and intermittent renewables should be addressed to preserve system reliability. Additionally, the growth of inverter-based technologies like wind and solar challenge system inertia and stability. The power grid, which was historically engineered for one-way flow of electricity from centralized plants,  should also be augmented to accommodate two-way flows from a highly distributed network of generation and storage solutions. Software and data analytics are becoming crucial for grid management and resilience to balance highly-variable demand for and supply of electricity generation and to protect the grid from cybersecurity risks. By investing in grid modernization and using these technologies, Asia can create a more sustainable, reliable, and efficient energy system that supports its decarbonization goals

A Closer Look at Policy and Frameworks

A robust policy and regulatory framework is critical in driving long-term positive change for Asia's net-zero journey. Effective policy reforms, national commitments, and result-oriented mechanisms are necessary to secure long-term impact in the fight against climate change. Given that the power sector is responsible for 40% of man-made emissions globally, policies should focus on reducing carbon intensity in this sector. Several key actions should be incorporated into these frameworks to ensure they effectively guide the energy transition. First, there must be mechanisms to measure and incentivize reductions in the power sector's carbon intensity, which would encourage energy producers to adopt more sustainable technologies and practices. Transparency and predictability are also crucial, as they allow lifecycle economics to drive investment decisions, factoring in the cost of carbon across the entire lifespan of energy projects.

In addition, policy frameworks should establish marketplace structures that separately value energy flexibility and dependable capacity, encouraging a diverse mix of technologies to ensure grid stability. Promoting research, development, innovation, and private risk-taking is vital for advancing clean energy technologies. Furthermore, supporting the free flow of goods and ideas in line with World Trade Organization principles will facilitate global cooperation, which is essential for a successful energy transition.

Finally, setting realistic timelines for emissions reduction efforts will provide a clear and achievable roadmap for countries as they work toward their net-zero goals.

The good news is that, across Asia, many nations have already aligned to these essential requirements for a sustainable transition to energy models and infrastructure. At the same time, the private sector is heavily invested in Asia’s energy transition.

Leading Asia’s Energy Transition

With a global presence in over 100 countries and a workforce of approximately 75,000, GE Vernova plays a pivotal role in the energy transition towards electrification and decarbonization. Leveraging over 140 years of energy expertise, GE Vernova initiatives aim to electrify the world while reducing carbon emissions, with about 25% of the world's electricity generated by its installed base and 90% of global power transmission utilities enabled by its technology.

In recent past, GE Vernova has launched several energy projects across Asia:

• Japan: Started operations at the Ishikari Hachinosawa Wind Farm and commissioned turbines for the first customer’s onshore wind energy centre in Hokkaido.
• Singapore: Supplied full electric propulsion systems for the Republic of Singapore Navy.
• South Korea: started operation at the Shinsejong combined-cycle power plant using GE Vernova’s 7HA.03 gas turbine, marking the 100th HA gas turbine globally.
• Australia: Powered by GE Vernova’s 9F.05 gas turbine, Tallawarra B Power Station marks the first dual-fuel capable natural gas/ hydrogen power plant in Australia.

Collaborating with local stakeholders, GE Vernova is also advancing technologies to decarbonize gas turbines through hydrogen, ammonia, and Carbon Capture Utilization and Storage (CCUS). These initiatives reflect the critical role of policy, regulatory frameworks, and collaboration in achieving Asia’s net-zero goals. GE Vernova remains committed to driving the region's clean energy transformation and looks forward to continuing this discourse at Enlit Asia.

GE Vernova is a global technology leader with the mission of continuing to electrify the world while simultaneously working to help decarbonize it. They are exhibiting at Enlit Asia, Kuala Lumpur from 8-10th of October, visit them at booth Q01, and hear them speak on the following Summit topics:

• Opening Plenary: Shaping regional energy transition- from Malaysia to beyond
  Ramesh Singaram, President, CEO of Asia, Gas Power, GE Vernova
• Harnessing technology innovation to enhance energy efficiency
  Kaz Fukui, Regional Executive Director, Decarbonisation, Asia, GE Vernova
• Building a digitally enabled resilient grid infrastructure
  Shailesh Mishra, Asia Pacific Regional Leader, Grid Systems Integration, Grid Solutions, GE Vernova
• Navigating the complexities in hybridising power generation: Strategies to maximise efficiency and flexibility
  Jorge Sanchez, Strategic Marketing Director, APAC, Onshore Wind, GE Vernova

Find out more at https://www.gevernova.com/about

[1] https://www.un.org/en/climatechange/net-zero-coalition