Asia is leading the global electric age. The region generates over half of the world's electricity and accounts for 75% of global electricity demand growth since 2000. It overtook the West in electrification in 2016 and is now electrifying five times faster.
Asia lacks fossil fuels but is an electrotech superpower. It holds only 4% of global oil and gas reserves but manufactures over 95% of solar panels, 85% of batteries, and 75% of wind turbines. This allows the region to build its own energy system.
Falling costs and geopolitical shocks are driving rapid change. Solar plus storage is now cheaper than fossil fuels across most of Asia, and electric cars have reached price parity with petrol cars in many markets. The 2024 Hormuz crisis highlighted Asia's vulnerability, as it imports 45% of its oil and 30% of its LNG from the Middle East.
The new energy playbook for Asia focuses on three vectors: 1) Deploying renewables (solar and wind), 2) Electrifying the economy (especially road transport to halve oil imports), and 3) Manufacturing and exporting electrotech.
The prize is the Asian century. This shift could save over $1 trillion a year in fuel imports, reduce air pollution (which affects 9 in 10 Asians), and accelerate economic growth. Electrotech is driving a "Great Convergence," allowing Asia to build its future on electrons rather than fossil fuels.
