Climate advocates from South and Southeast Asia are urging their governments to accelerate the shift to renewable energy, saying that with the Iran war hurting global oil and gas supply, fossil fuel-dependent systems can no longer ensure regional energy security.
From gas supply disruptions to volatile oil prices, the war’s fallout has reverberated through much of Asia, with some governments signalling plans to revert to coal to meet immediate energy needs.
Amid the scramble to secure supply, the region’s climate advocates say the crisis should serve as a stark reminder that relying on imported fossil fuels leaves the region exposed to external shocks, price spikes and prolonged supply shortages. The experts were in Kuala Lumpur last week for a prepatory meeting ahead of an upcoming conference on transitioning away from fossil fuels in Santa Marta, Colombia next month, as well as this year’s COP31 climate summit.
At the two-day convening, representatives from 12 countries adopted the Kuala Lumpur Declaration on Climate Justice for Southeast Asia and South Asia, outlining shared demands and a roadmap for coordinated action to push for a just and resilient energy transition across the two regions.
The declaration will guide joint advocacy efforts at the Santa Marta conference, as well as climate negotiations at COP31 in Antalya, Turkey and beyond.
Lidy Nacpil, coordinator of the Asian Peoples’ Movement on Debt and Development, a regional network of civil society groups based in the Philippines said the soaring oil and gas prices linked to the ongoing war in the Middle East could undermine progress made on slowing coal expansion across Asia.
Nacpil explained that due to the recent crisis, the coal phase-out plans could be redefined or delayed in these countries, with governments using gas price volatility as justification for extending the lifespan of coal plants.
“Coal expansion has really slowed down in Southeast Asia and even the rest of Asia. But because of these high [gas] prices, we are afraid that they’re going to lift the ban on expansion, and there will be fresh finance flows for new coal,” she said during a press conference.
Asian countries are already turning back to coal, according to a report by the Associated Press, as the Iran war disrupts oil and gas shipments that passing through the Strait of Hormuz. The strait is a critical transit route for about 20 per cent of the world’s oil and liquefied natural gas (LNG) trade, with Asian countries among the most dependent on the region for imports.
The blockade has pushed fossil fuel-dependent Asian countries to shift back to coal to cover LNG shortfalls and meet immediate energy demands, including in India, Thailand, Vietnam and the Philippines.
Echoing similar concerns, Harjeet Singh, strategic advisor and Asia lead of the Fossil Fuel Treaty Initiative, said that while that governments may lean further into using fossil fuels in the immediate future, the crisis presents an opportunity to fix structural weaknesses that exist in energy planning.
“In the short term, investments are going to go more into fossil fuels and more extraction. We may even see delays of climate targets. But we don’t have to wait for the long term to fix the system. We can start now,” he said.
Singh argued that true energy security and sovereignty can only be achieved if Asian countries control their own energy sources, something that imported fossil fuels cannot offer.
He also noted that much of the windfall profits generated during wartime go back to a small group of fossil fuel corporations and elites.
“We saw that during the war in Ukraine, and we’re seeing it again with the crisis in the Middle East. When those profits are being made, [our] governments need to tax them and redirect that money into strengthening renewable energy infrastructure,” he said, adding that investments should prioritise upgrading national grids and developing the skilled workforce required for new energy systems.
Nacpil said that the crisis has underscored the urgency of accelerating renewable energy deployment in developing Asian countries to ensure energy security.
“There’s going to be, hopefully, a positive effect [from this as well] and that is the even more clear necessity for the shift to renewables, and we’re hoping that this will be more of the kind of response our governments will have,” she said.
Coal relapse and derailing climate targets
While a relapse of coal in Asia’s energy systems is an immediate impact of the crisis, campaigners said it need not permanently derail long-term low-carbon development strategies in Asia.
Charles Santiago, former member of parliament and co-chair of the Asean Parliamentarians for Human Rights, said market signals suggest the global energy transition remains firmly underway despite the current geopolitical landscape.
“The business community has already pointed the direction [policy should be headed]. They see the importance of solar panels, solar batteries and storage,” he said.
Santiago cited the recent investment trends and noted that, in about four weeks since the Iran war began, three major Chinese battery and energy‑storage companies, CATL, BYD, and Sungrow, had collectively gained roughly US$70 billion in market value, reflecting heightened investor interest in solar‑linked technologies, storage, and batteries.
He added that in the next couple of months, gas supply from the Gulf might not be adequate, as the main production centre in the United Arab Emirates and Qatar are undergoing repairs due to the conflict.
Facilities such as the Shah and Habshan gas plants in Abu Dhabi and parts of the Ras Laffan industrial complex in Qatar are undergoing assessments and repairs due to missile and drone attacks. Analysts at Rystad Energy have also estimated that full restoration of LNG‑train capacity could take three to five years, depending on turbine‑supply bottlenecks.
Santiago also emphasised that opening new coal mines could take time and may not make economic sense than turning to renewable energy to meet demand.
“Getting solar projects up and running is much faster than reverting to coal,” he said.
Nacpil reinforced concerns around coal and stressed that restarting decommissioned or mothballed coal plants would be technically and financially more complicated than developing a solar plant, which can take up to two years to become operational.
While acknowledging that the crisis may slow progress, she also said it should not permanently derail long-term climate goals.
“This conflict is emphasising the vulnerability of economies that are dependent on fossil fuels, especially imported fossil fuels, which is the great majority of our countries in Asia.”
“We are campaigning hard so that this crisis has the least impact on derailing coal phase-out plans. But that means we must work harder to show governments that scaling up renewables is the logical, economic and strategic choice,” she said.
