Solar, wind energy could power a third of Asean data centres in 2030: report - The Business Times
Published December 25, 2025
Renewable Energy Potential for Asean Data Centres by 2030
According to a recent study, solar and wind energy could supply nearly one-third of the power needed for data centres in the Association of Southeast Asian Nations (ASEAN) by the year 2030. This shift towards renewable energy sources is expected to significantly reduce carbon emissions and enhance sustainability within the region's rapidly expanding digital infrastructure.
As the demand for data services continues to rise, driven by the increasing reliance on cloud computing and digital technologies, the energy consumption of data centres has also surged. The report highlights that by 2030, the energy requirements for data centres in ASEAN countries are projected to increase by over 50%, necessitating a transition to sustainable energy solutions.
Current Energy Landscape in ASEAN
Currently, the majority of power for data centres in the ASEAN region comes from fossil fuels, which are not only finite but also contribute significantly to greenhouse gas emissions. The report emphasizes the urgent need for a transformation in the energy mix to incorporate more renewable sources such as solar and wind. With abundant sunlight and wind resources across many ASEAN countries, the potential for clean energy generation is considerable.
For instance, countries like Indonesia, the Philippines, and Thailand have favorable conditions for solar energy generation, while Vietnam and Malaysia have shown promising potential for wind energy. The report suggests that harnessing these resources could lead to a more resilient and sustainable energy infrastructure for data centres, which are critical to supporting the digital economy.
Projected Growth of Renewable Energy in Data Centres
The report estimates that by 2030, solar energy could account for approximately 20% of the total energy consumption of data centres in the ASEAN region, while wind energy could contribute around 13%. This combined total of 33% represents a significant milestone in the region's efforts to transition to a low-carbon economy.
Furthermore, the transition to renewable energy sources is expected to be driven by various factors, including government policies, corporate sustainability initiatives, and the decreasing costs of renewable technologies. Governments across the ASEAN region are increasingly recognizing the importance of renewable energy in achieving their climate goals and are implementing supportive policies to encourage investment in clean energy infrastructure.
Challenges and Opportunities
Despite the promising outlook for renewable energy in powering data centres, the report also identifies several challenges that need to be addressed. One major challenge is the intermittent nature of solar and wind energy, which can impact the reliability of power supply for data centres that require a constant and stable energy source.
To mitigate this issue, the report suggests that data centre operators and energy providers should explore energy storage solutions, such as batteries, and invest in hybrid systems that combine renewable energy with traditional power sources. Additionally, improvements in grid infrastructure and energy management systems will be essential to facilitate the integration of renewable energy into the existing power supply.
Investment Trends in Renewable Energy
The report also highlights the growing trend of investment in renewable energy projects within the ASEAN region. As companies increasingly prioritize sustainability, many are committing to renewable energy procurement strategies that align with their corporate social responsibility goals. This shift is driving demand for renewable energy certificates and power purchase agreements, which are vital for financing new renewable energy projects.
Moreover, the increasing availability of financing options for renewable energy projects, including green bonds and impact investments, is expected to further accelerate the growth of solar and wind energy in the region. As a result, data centre operators are likely to find it easier to secure funding for renewable energy initiatives, paving the way for a greener future.
Conclusion
In conclusion, the potential for solar and wind energy to power a significant portion of ASEAN's data centres by 2030 is substantial. With the right policies, investments, and technological advancements, the region can transition towards a more sustainable energy future that meets the demands of its growing digital economy. The report serves as a call to action for stakeholders across the region to collaborate and invest in renewable energy solutions that will benefit both the environment and the economy.
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