Wind and solar capacity in south-east Asia climbs 20% in just one year, report finds - Carbon Brief
Published December 14, 2025
Wind and Solar Capacity in Southeast Asia Increases by 20% in One Year, Report Reveals
According to a recent report, the installed capacity of wind and solar energy in Southeast Asia has surged by 20% within a single year. This remarkable growth highlights the region's ongoing transition towards renewable energy sources, driven by a combination of government policies, technological advancements, and increasing investments in clean energy infrastructure.
The report, which analyzes data from various countries across Southeast Asia, indicates that the total capacity for wind and solar energy reached approximately 23.5 gigawatts (GW) by the end of 2022, up from 19.6 GW in 2021. This increase is part of a broader trend in which Southeast Asia is rapidly expanding its renewable energy portfolio to meet both domestic energy needs and international climate commitments.
Country-Specific Developments
Among the countries leading this renewable energy expansion are Vietnam, Thailand, and the Philippines. Vietnam has emerged as a significant player in the region, with its solar capacity alone increasing from 16.5 GW in 2021 to around 20.5 GW in 2022. This remarkable growth can be attributed to the government’s supportive policies, including feed-in tariffs and tax incentives aimed at attracting investments in solar infrastructure.
Thailand also saw substantial growth in its renewable energy sector, with its total capacity for wind and solar energy rising to approximately 5.4 GW. The Thai government has been proactive in implementing measures to promote renewable energy, including the Power Development Plan, which aims to increase the share of renewable energy in the national energy mix.
The Philippines, while slightly behind its regional counterparts, has made notable strides as well. The country’s total renewable energy capacity reached about 3.6 GW, with significant contributions from both wind and solar projects. The Philippine government is currently working on various initiatives to enhance its renewable energy framework, aiming to attract more investments in the sector.
Investment Trends
Investment in renewable energy in Southeast Asia has been on the rise, with a record $3.1 billion allocated to wind and solar projects in 2022 alone. This figure represents a significant increase compared to previous years and underscores the growing confidence of investors in the region's renewable energy potential.
International financial institutions and private investors have played crucial roles in funding these projects. The Asian Development Bank (ADB) and the World Bank have been particularly active in providing financial support and technical assistance to various renewable energy initiatives across the region. Their involvement has been instrumental in facilitating the growth of wind and solar capacity, as well as in ensuring that projects adhere to environmental and social standards.
Challenges Ahead
Despite the positive growth trends, the report also highlights several challenges that Southeast Asia must address to sustain its renewable energy momentum. One of the primary obstacles is the need for improved grid infrastructure to accommodate the increasing share of renewable energy in the energy mix. Many countries in the region still rely on outdated grid systems that are not equipped to handle the variability associated with wind and solar power generation.
Additionally, regulatory frameworks and policies need to evolve to support the continued growth of renewable energy. In some countries, bureaucratic hurdles and a lack of clear guidelines can hinder project development and delay the implementation of renewable energy initiatives.
Future Outlook
The outlook for renewable energy in Southeast Asia remains optimistic, with projections indicating that the region could see its total wind and solar capacity exceed 35 GW by 2025. This growth will be driven by ongoing investments, technological advancements, and a concerted effort by governments to meet their climate goals.
As Southeast Asia continues to embrace renewable energy, it is expected that the region will play a significant role in the global transition towards a sustainable energy future. The combination of favorable geographic conditions, increasing energy demand, and a commitment to reducing greenhouse gas emissions positions Southeast Asia as a key player in the renewable energy landscape.
Conclusion
The 20% increase in wind and solar capacity in Southeast Asia over the past year is a clear indication of the region's commitment to renewable energy. With supportive government policies, rising investments, and a focus on overcoming existing challenges, Southeast Asia is poised for continued growth in its renewable energy sector. As countries work towards achieving their energy and climate goals, the region's progress serves as an encouraging example for others around the world.
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