Nearly two-thirds (65 per cent) of energy leaders in Asia Pacific (APAC) believe progress in the energy transition in the region is developing at sufficient speed, according to industry research conducted by ABB’s Energy Industries division.
The Asia Pacific Energy Transition Readiness Index 2025 surveyed over 4,000 business leaders responsible for automation, electrification, digitalisation and sustainability strategies across 10 industries and 12 geographical markets. The findings reveal significant opportunities across the region alongside challenges requiring coordinated actions.
The Index focuses on energy-intensive industries such as chemicals, data centres, energy and power generation, manufacturing, oil and gas, transportation and others. Based on 20 indicators across Strategy, Technology and Infrastructure, Finance, and Talent, the research indicates that 60 per cent of companies are at a high or average readiness level, with 40 per cent at early stages.
“It is encouraging to see that Asia Pacific leaders remain committed to sustainability and energy transition goals,” said Anders Maltesen, President of ABB’s Energy Industries division, Asia. “Accelerating readiness will take a combination of policy certainty, technology innovation, financial investment and focused collaboration.”
The research also shows growing momentum for digital transformation, with 71 per cent of respondents identifying artificial intelligence (AI) and automation as key enablers of the energy transition. The survey data points to an opportunity for companies to leverage AI for data-driven energy management, accelerate investment in smart grid solutions and support interoperability.
Findings show that energy transition investments are accelerating, with 99 per cent of organisations increasing their transition-related spending over the past year. The share of leaders anticipating that transition investments will grow by 50 per cent or more is set to more than double over the next five years. Additionally, over 73 per cent of companies plan to allocate at least 10 per cent of their capital expenditure to transition initiatives, indicating a sustained investment trajectory.
Automation, electrification and digitalisation are becoming key levers for greater efficiency, sustainability and resilience. The survey responses indicate that digitalisation (38 per cent) and automation (35 per cent) are being prioritised for operational transformation, while electrification (27 per cent) is driving decarbonisation and progress toward net-zero goals.
The Index also identifies that where challenges exist, collaboration across sectors can help. Almost three-quarters (62 per cent) call for stronger government incentives, while 60 per cent want more cross-regional collaboration on grid infrastructure, and 56 per cent advocate for increased private sector investment.
The research indicated solar is poised to lead Asia Pacific’s energy transition, with 73 per cent of surveyed organisations already adopting it and 45 per cent planning major expansions in the next five years. Hydropower (55 per cent) and wind (51 per cent) are also widely used, while emerging sources like green hydrogen (37 per cent), bioenergy (33 per cent), and geothermal (25 per cent) are gaining traction.
Conducted between May and June 2025, the research demonstrates Asia Pacific’s strong commitment to the energy transition. Unlocking the region’s full potential will require stronger alignment between investment priorities and transition demands; faster adoption of key technologies; and deeper stakeholder engagement. Full report available here.
ABB is a global technology leader in electrification and automation, enabling a more sustainable and resource-efficient future. By connecting its engineering and digitalisation expertise, ABB helps industries run at high performance, while becoming more efficient, productive and sustainable so they outperform. At ABB, we call this ‘Engineered to Outrun’. The company has over 140 years of history and around 110,000 employees worldwide. ABB’s shares are listed on the SIX Swiss Exchange (ABBN) and Nasdaq Stockholm (ABB). www.abb.com
ABB’s Process Automation business automates, electrifies and digitalises industrial operations that address a wide range of essential needs – from supplying energy, water and materials, to producing goods and transporting them to market. With its ~20,000 employees, leading technology and service expertise, ABB Process Automation helps process, hybrid and maritime industries outrun – leaner and cleaner. go.abb/processautomation
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