Economic Growth Drives Asia’s Energy Transition, With A Focus On Grid Infrastructure

Gentari: Asia's energy transition is moving with perpetual momentum, with the shift towards renewables increasingly anchored on economic growth needs rather than purely environmental considerations, global clean energy company Gentari said today.

According to BERNAMA News Agency, Chief Strategy and Portfolio Officer M Huzaini Ghazali stated that the transition had been gaining pace even before current global developments and continues to move steadily forward. He highlighted that Asia's diverse economic starting points and growth trajectories necessitate a range of energy sources, with the transition being shaped by development needs.

"There are different nations in Asia coming from different situations and different growth profiles, and they require various forms of energy. At least from a generation perspective, renewable energies end up being extremely competitive, even the cheaper option," he said during a panel session, "Grid and Infrastructure: The Backbone of Energy Transition," on the last day of the Offshore Technology Conference Asia (OTC Asia) here today.

However, Huzaini noted that the cost advantage of renewable energy is only part of the solution, as scaling renewables heavily relies on grid infrastructure. He emphasized that while renewable generation is cost-effective, it lacks the consistency of traditional sources like gas or coal.

"The grid plays a critical element to ensure we are able to bring in this new source of energy in a stable way. Every single one of us expects to turn on the fan or the air conditioning with the flick of a switch," he said.

To meet these expectations at scale, Huzaini suggested that grid development must be considered beyond individual nations, advocating for a broader regional system to support the growing share of renewables in Asia's energy mix.