Asia is leading the clean energy innovation
Asia and the Pacific region is emerging as a global leader in the clean energy transition, propelled by diverse technological advancements addressing the dual challenges of climate mitigation and adaptation across various sectors. The region is experiencing a surge of innovation, with countries like Singapore, the Republic of Korea, China and Japan (ranked according to the Global Innovation Index 2024) leading in clean energy inventions, from advanced batteries and electric vehicles to smart farming tools. However, many technologies such as electric vehicles (EVs) rely heavily on a green energy mix within the electricity grid to make a meaningful impact on climate change. Fortunately, several countries in the region are well-positioned to benefit from this, thanks largely to their significant hydropower potentials. This has enabled them to develop a relatively low-carbon electricity grid with a notable share of renewables. For example, Nepal generates 100% of its electricity from hydropower, while countries such as Myanmar, New Zealand and the Republic of Korea also obtain a significant portion of their electricity from renewable sources, creating favorable conditions for a cleaner energy transition.
The rise of smart cities through energy efficiency and electrified mobility
Across the Asia-Pacific region, urban households are changing, driven by technological advancements and a growing emphasis on energy efficiency. Rapid urbanization, rising living standards, resource constraints and climate pressures are accelerating the adoption of advanced technologies, from improved building materials to energy-efficient home appliances like smart home systems and inverter air conditioners. These innovations not only improve comfort and convenience but also significantly reduce energy consumption and carbon emissions. Smart thermostats and IoT-enabled appliances, for instance, offer real-time control and optimization, enabling households to align energy use with off-peak hours or renewable supply. The expansion of demand-response technologies and AI-driven home energy management systems are fostering a more adaptive, efficient urban energy landscape. At the same time, energy solutions are becoming more inclusive and sustainable. Cooling-as-a-service models, PAYGO (pay-as-you-go) cooking appliances, leasing arrangements and affordable smart home kits are helping lower-income households access modern energy technologies without high upfront costs.
Effective energy management, however, must begin at the design stage. The development of walkable urban centers, alongside buildings that leverage passive design strategies such as green roofs, cool roofs and natural ventilation, has an important potential for change. Supportive governance frameworks, like India’s and China’s national cooling action plans, demonstrate how integrated approaches to design, technology and policy can drive low-carbon, resilient urban development. Pioneering cities are further optimizing energy use across multiple sectors through interconnected digital solutions, including smart streetlights and intelligent transport systems (ITS). Nonetheless, many cities have yet to exploit these opportunities, and disparities in implementation capacity remain a persistent challenge.
Urban public transport systems are critical to the region’s energy transition. As the demand for mobility increases due to the population increase and urban growth, there is an urgent need to reduce dependence on fossil fuels to curb projected emissions increases. Electrification of public transport, including buses, trains, ferries and two/three-wheelers, offers a powerful path to decarbonization, if paired with low-carbon electricity from renewables like solar or hydropower. Vehicle-to-grid (V2G) charging infrastructure and battery swapping are making these systems more viable and efficient.
Yet, barriers remain. Grid capacity limitations, lack of charging and green hydrogen infrastructure, high upfront investment and urban space constraints can hinder widespread adoption. While technologies such as V2G integration, real-time traffic optimization and autonomous electric vehicles can improve operational efficiency, they do not resolve these fundamental issues. Overcoming these challenges will require coordinated efforts from policymakers, urban planners and technology providers, along with sustained investment in grid upgrades, public charging and space-efficient urban design. But the technologies exist.
Using technology to tackle Asia’s water-energy nexus
The region is increasingly confronting the dual pressures of rising energy demand and escalating water scarcity. Energy systems account for nearly 10% of global freshwater withdrawals, while water supply, treatment and distribution are heavily energy intensive. Rapid urbanization, shifting rainfall patterns and aging infrastructure are amplifying vulnerabilities in both sectors. In many Southeast Asian cities, up to 50% of water is lost through leaks and inefficiencies, driving up energy use and operational costs. Addressing these losses is crucial for improving both energy and water efficiency. Improved water management through technologies like IoT-enabled sensors, smart meters and pressure control systems, paired with infrastructure upgrades and better governance, is proving effective. These technologies facilitate real-time monitoring and optimization of water distribution. For example, the cities Ho Chi Minh and Wellington demonstrate how targeted investments and community engagement can reduce non-revenue water, lower energy consumption and enhance the reliability of urban water services.
At the heart of water infrastructure and energy use are electric motors driving pumps and aeration systems. Adopting high-efficiency models, variable-speed drives and digital controls can cut energy use of these motors by up to 30%. Wastewater treatment is being transformed by energy-efficient technologies such as fine-bubble diffusers, membrane bioreactors (MBRs) and anaerobic systems that generate biogas. Emerging innovations such as microbial fuel cells are also helping turn wastewater into a source of both clean water and renewable energy. Meanwhile, in response to water scarcity and saltwater intrusion, countries like Singapore, India and China are expanding desalination capacity through advanced reverse osmosis (RO), electro-deionization and hybrid systems.
Renewable energy solutions are empowering rural communities amid energy challenges
Off-grid renewable energy technologies are rapidly advancing energy access across rural and underserved areas in the Asia-Pacific region, offering affordable and scalable alternatives to traditional grid expansion. Innovations such as mini- and micro-grids combining renewable energy, for example in the form of pico, micro and small hydropower, solar and wind home systems combined with battery storage and backup generators, are providing reliable electricity and improving quality of life. These solutions are especially valuable in disaster-prone areas and are emerging as cost-effective options for both developing and developed countries. Notable successes include Bangladesh’s solar home system program electrifying around 20 million people and Pakistan’s solar rollout in over 12,000 schools. These decentralized renewable solutions are integral to a broader shift toward clean, cheap and locally adapted energy ecosystems that support sustainable development and climate resilience.
Beyond electricity access, off-grid green energy solutions help improve health and livelihoods through clean cooking and improved water access. Despite progress, over a billion people in the Asia-Pacific region still lack clean cooking technologies, and rely on inefficient biomass fuels and kerosene, leading to harmful emissions and health risks. Biogas from organic waste, biomass gasifiers, improved cookstoves and solar cooking options are reducing fuel consumption and emissions while empowering rural communities. Emerging third-generation mini-grids equipped with smart meters, mobile payments and real-time monitoring further improve reliability and customer engagement. However, scaling these technologies requires supportive policies, innovative financing and institutional collaboration to overcome cost barriers and integrate decentralized systems with national grids, enabling energy access for all.
Energy-efficient innovations are driving Asia’s agricultural transformation
Agriculture is a key contributor to climate change through greenhouse gas (GHG) emissions, particularly through livestock, fertilizer use and fossil fuel-powered irrigation and machinery. In Asia, rice cultivation contributes significantly to methane emissions. However, irrigation remains the largest on-farm energy consumer, largely powered by diesel and electricity. To meet growing food demand sustainably, a new green revolution is underway. Many Asian farmers are adopting solar-powered irrigation pumps and efficient methods like drip irrigation and alternate wetting and drying, which improve water and energy use. Innovations such as agrivoltaics (combining crop production with solar power) are new and expanding, boosting land productivity and supporting decentralized renewable energy access, while contributing to both climate mitigation and adaptation. Precision agriculture technologies using satellite images, IoT, AI and drones are growing to help reduce emissions and save water and energy, though adoption rates vary considerably between lower- and higher-income Asian nations.
Post-harvest stages also consume significant energy, particularly in rice milling, where Asia accounts for 90% of global output. Rural areas are increasingly turning to solar- and biomass-powered dryers, mills and cold storage to reduce losses and emissions. Cold chain logistics are rapidly modernizing, driven by urban food demand and e-commerce growth, and countries like Indonesia and Japan are leading with energy-efficient refrigeration. In key food sectors like dairy and tea production, innovations in heat recovery, solar-powered cooling, biomass heating and automated systems are lowering energy use and emissions while maintaining product quality. However, scaling solutions will require continued investment, enabling policies and affordable access for smallholders through innovative financing models like PAYGO, leasing and cooperative models.
Low energy pathways to more climate-friendly fisheries and aquaculture
In 2022, Asia contributed 75% of the world’s total fisheries and aquaculture production, of which 185.4 million tonnes were aquatic animals. Global demand for aquatic products is expected to rise by 15% by 2030, with most of this rise coming from aquaculture, thus requiring a 35% to 40% increase in aquaculture production to meet future needs. Energy use is a major challenge throughout the sector, as both production, processing, storage and transport are highly energy intensive, making innovation and investment in energy efficiency essential for a more sustainable value chain. Additionally, small-scale fishers and farmers face significant hurdles, including limited access to quality inputs, financing and reliable energy, which restrict their productivity and sustainability.
Energy-saving technologies like fuel-efficient engines, hybrid and solar-powered boats, advanced fishing gear and digital navigation reduce emissions and improve fishing efficiency. In aquaculture, renewable solutions including solar- and wind-powered aeration, solar PV-powered cold storage and biomass-based feed processing are increasingly being adopted. Innovative technologies like aquavoltaics – where floating solar panels over fishponds generate electricity while maintaining optimal water temperatures and reducing evaporation – are gaining traction. This approach is particularly popular in China, India, Japan, the Republic of Korea and Taiwan Province of China, where land and water resource constraints drive the integration of energy and aquaculture systems. Smart IoT-based farm management, recirculating aquaculture systems (RAS) and integrated multi-trophic aquaculture (mimicking natural ecosystems which lowers energy usage and ecological footprint) further reduce environmental impacts and boost productivity. Pioneering projects like China’s smart aquaculture vessel and offshore wind-powered fish farms highlight the sector’s transition toward automation and sustainable energy.
Greening the service sector: technologies available for hotels and shopping malls
Hotels and shopping malls are two major pillars of Asia’s fast-growing service sector and are central to both tourism and urban lifestyles. Shopping malls have become multifunctional hubs, offering not just retail, but also entertainment, dining, wellness and social spaces, essentially making them temperature-controlled community centers, especially in Southeast Asia. Likewise, hotels remain key to the region’s booming tourism industry, serving millions of travelers year-round. Both types of buildings are among the highest energy users in urban settings, due to their constant demand for heating, cooling, lighting and water. As concerns over climate change grow, there is an urgent need for these high-energy hubs to adopt clean, energy-efficient technologies to reduce GHG emissions, meet sustainability goals and stay competitive by aligning with increasingly greening consumer expectations.
Both sectors are therefore turning to advanced energy solutions. Heating and cooling systems are among the largest energy users, making them a top priority for upgrades. Solutions like smart heating, ventilation and cooling (HVAC) systems, inverter air conditioners and heat pumps can cut energy use significantly. Inside hotels, energy-saving appliances, LED lighting, occupancy sensors and building energy management systems (BEMS) optimize overall performance. Shopping malls are incorporating zone-specific HVAC, variable-speed escalators and regenerative-drive elevators. Rooftop and parking-space solar panels and EV charging stations are becoming more common, while green façades and advanced building materials help lower energy demand. In supermarkets and food courts, low-global warming potential (GWP) refrigeration systems and heat recovery technologies are making operations more climate-friendly. These improvements not only lower energy bills but also enhance long-term resilience by aligning buildings with sustainability standards.
Water and waste systems also offer major efficiency gains. Biodigesters can convert food waste into clean energy, while low-flow fixtures, gray water recycling and smart water management help reduce both water use and energy demand. Hotel pools are increasingly heated with solar energy or energy-efficient heat pumps. Many hotels are now also engaging guests actively in sustainability efforts. Through room controls, behavioral nudges and reward programs, travelers are encouraged to use less water and energy, making them part of the solution. Such technologies demonstrate how innovation in everyday spaces can help drive a more sustainable future.
Financial solutions are catalyzing clean energy transition in the Asia-Pacific region
Multilateral development banks and climate funds are helping reduce investment risks and supporting both large and small clean energy projects in the Asia-Pacific region. At the same time, private sector investment is rising sharply, especially in East and South Asia, driven by the falling costs for solar, wind and other clean technologies. However, there are still big challenges. In many lower-income countries, clean energy projects are still too costly, and access to funding is limited. Furthermore, numerous developing nations in the region rely heavily on imported technologies and financial resources predominantly concentrated in developed countries. Despite these hurdles, Asia, with its immense potential and growing commitment to sustainable development, is poised for a transformative clean energy future if these financial and technological disparities can be effectively addressed. The unique vulnerabilities and isolation of Pacific Island nations also highlight the need for tailored solutions to ensure their equitable participation in this energy transition.
As with the other editions of the Green Technology Book, we hope that by showing what is already available, or close to being so, and that it is feasible, technically and financially, we can help pave the way for faster deployment of innovation and technology as part of the solutions to the climate change challenge. It is through inspiration that people looking for solutions will find the motivation to adopt and adapt a technology solution and thereby make it their own.