APEC ministers push for greater energy security in Asia Pacific

KUALA LUMPUR: Energy ministers from the Asia Pacific Economic Cooperation (APEC) are working to enhance energy security across the region as electricity demand surges, straining power systems and creating supply chain issues. By 2060, electricity use in APEC could almost double due to greater electrification, data centers and shifting transport needs.

During the 16th APEC Energy Ministerial Meeting in Beijing, ministers discussed how to meet this demand while boosting energy systems, expanding access and keeping costs low for households and businesses. Accounting for about 60% of global energy production and consumption, the Asia Pacific's energy cooperation is crucial for both regional and global energy landscapes, according to Ding Xuexiang, China's vice premier.

AI presents both a challenge and opportunity, with electricity demand for AI training data centers expected to rise by 17% in 2025, outpacing global growth. However, AI can also aid in forecasting demand, managing grids and distributing power more efficiently. To tackle these issues, ministers emphasized the need for energy-efficient technologies and skilled professionals working across energy and digital sectors, along with strong cybersecurity and data protection.

Beyond meeting new demand, extending reliable electricity to underserved communities, such as through off-grid and mini-grid systems, was also a priority. Energy accessibility is vital for economic and social development, and ministers called for improved energy services and measures to help vulnerable groups. Affordability concerns were addressed, with ministers advocating for better access to financing for energy-efficient appliances and systems.

Economies also discussed meeting technology-driven demand without raising costs, stressing consumer protection and transparent electricity pricing rules. Supply chain disruptions are adding to affordability pressures, driving up prices and stressing energy systems regionally. Ministers explored ways to diversify energy sources and trade routes, strengthen critical infrastructures like submarine and power cables, and improve emergency reserves across the region.

As the energy landscape evolves, resilience, access and affordability are becoming central priorities. The meeting's discussions build on APEC's goal of doubling the region's renewable energy share by 2030 and cutting energy intensity by 45% by 2035.