From AI to emissions: Aligning ASEAN’s digital growth with energy transition goals

The report highlights that data centres in ASEAN could account for 2% to 30% of national power demand by 2030, risking a significant increase in emissions, particularly in Malaysia, Indonesia, and the Philippines. It argues that approximately 30% of this demand can be met by solar and wind via grids without battery storage. The document advocates for more accessible corporate Power Purchase Agreements (PPAs), national sustainability frameworks, and advanced cooling technologies to ensure the sector's growth does not derail regional decarbonisation targets.

• Data centre electricity demand is projected to grow unevenly across ASEAN, with Malaysia experiencing the most rapid increase. Malaysia's demand is expected to rise from 9 TWh in 2024 to 68 TWh by 2030, which would represent 30% of its national power consumption.
• The expansion of data centres is expected to cause sharp emission increases in three countries due to fossil-fuel-dependent grids. Malaysia's emissions from data centre power are projected to rise sevenfold from 5.9 MtCO2e in 2024 to 40 MtCO2e by 2030; Indonesia's are expected to quadruple (+13 MtCO2e); and the Philippines' emissions are projected to increase 14 times, from 0.8 MtCO2e in 2024 to 10.5 MtCO2e by 2030.
• A significant portion of the 2030 electricity demand for data centres in the region can be met using renewable energy without immediate reliance on expensive storage. Approximately 30% of this demand can be fulfilled via solar and wind through the grids without needing battery storage.
• To power data centres sustainably and avoid increasing fossil fuel dependence, the top five data centre-consuming countries in the region will require estimated investments of $45 to 75 billion in solar and wind capacity by 2030.
• Energy efficiency, particularly in cooling, is a critical lever for decarbonisation. Cooling can account for 39% of a data centre's total energy consumption. Technologies such as immersion cooling can reduce power consumption by approximately 40% compared to traditional methods.
• Corporate renewable procurement in ASEAN is currently limited, with unbundled Renewable Energy Certificates (RECs) being more dominant than Power Purchase Agreements (PPAs). The report argues that expanding access to virtual PPAs and green tariffs is essential for smaller data centre companies to afford solar and wind supplies.

APA

Nadhila, S., & Setyawati, D. (2025). From AI to emissions: Aligning ASEAN’s digital growth with energy transition goals. Ember. https://ember-energy.org/app/uploads/2025/05/Report-From-AI-to-emissions-ASEAN.pdf

Chicago

Nadhila, Shabrina, and Dinita Setyawati. From AI to emissions: Aligning ASEAN’s digital growth with energy transition goals. Ember, 2025. https://ember-energy.org/app/uploads/2025/05/Report-From-AI-to-emissions-ASEAN.pdf.

Wikipedia

{{cite report |last1=Nadhila |first1=Shabrina |last2=Setyawati |first2=Dinita |title=From AI to emissions: Aligning ASEAN’s digital growth with energy transition goals |publisher=Ember |date=27 May 2025 |url=https://ember-energy.org/app/uploads/2025/05/Report-From-AI-to-emissions-ASEAN.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{nadhila2025from, author = {Nadhila, Shabrina and Setyawati, Dinita}, title = {{From AI to emissions: Aligning ASEAN’s digital growth with energy transition goals}}, institution = {Ember}, year = {2025}, month = may, url = {https://ember-energy.org/app/uploads/2025/05/Report-From-AI-to-emissions-ASEAN.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }