Asia is facing the effects of climate change, and the stakes are incredibly high. Extreme weather events are no longer rare occurrences; they have become a constant part of life on the continent. In India, summer heatwaves in 2025 pushed temperatures above 50°C in parts of Rajasthan and Madhya Pradesh. This overwhelmed power grids and led to hundreds of deaths related to heat.
Meanwhile, Southeast Asia is dealing with unprecedented floods. In the Philippines and Vietnam, over 500,000 people were displaced last year as rivers and drainage systems overflowed, destroying homes, crops, and livelihoods. Coastal megacities like Jakarta, Manila, and Ho Chi Minh City are particularly at risk, facing rising sea levels and stronger storms that threaten infrastructure, economies, and millions of residents.
The human impact is enormous. Farmers lose their crops due to long droughts or sudden floods. Urban populations struggle with a lack of clean water, and low-income communities suffer the most, having limited access to aid or insurance. Still, amid these pressing challenges, a quieter change is taking place. Asia’s energy landscape is changing faster than many realize. Solar farms in India now produce tens of gigawatts every year.
South Korea is constructing large offshore wind parks, and Japan is making significant investments in hydrogen and battery storage projects. Governments, investors, and companies across the region are racing to cut carbon emissions, create green technologies, and strengthen their resilience. This positions Asia not only as a battleground against climate effects but also as a possible global leader in the clean energy shift. These growing climate shocks are not only humanitarian disasters, but also stress tests for Asia’s energy systems, revealing how inextricably connected climate resilience and energy policy have become.
This dual situation of dealing with the immediate effects of climate change while pushing for a green revolution makes this moment for Asia crucial. How the region handles these connected challenges will influence not just the lives of millions but also the direction of the global energy IRENA economy for years to come. The question now is not whether Asia will feel the impact of climate change, but whether its rapid clean energy expansion can convert into reliable, system-wide leadership rather than fragmented progress.
This concentration of new capacity reflects a structural shift in global energy leadership, with Asia increasingly leading the pace of technological costs, deployment speed, and industrial scale. This growth far exceeded that of Europe and North America, according to the International Renewable Energy Agency (IRENA). This signifies a significant shift in the global production, consumption, and trading of energy.
Read More: Pakistan Eyes Green Energy, Agri Growth Under CPEC II
China, traditionally linked to coal power, is now setting records in clean energy. In the first five months of 2024, it installed about 198 GW of solar and 46 GW of wind capacity. This amount of electricity could power countries the size of Poland or Turkey. Meanwhile, China’s renewable capacity has been steadily increasing, which has helped reduce fossil fuel generation as renewables become more prominent.
India is also making significant progress. In 2025, the country added a record 44.5 GW of new renewable capacity. This nearly doubled its growth from the previous year and raised its total non-fossil fuel capacity to 262.7 GW. India’s renewable generation output grew quickly, helping to lower its reliance on coal for power production.
At the same time, the rest of the Asia-Pacific region, excluding China, is expected to almost double its renewable capacity over the next five years. It is projected to add about 670 GW by 2030, according to the International Energy Agency (IEA). Most of this growth is expected to come from solar energy, with utility-scale projects leading the way. This expansion illustrates growing regional momentum, but it also reveals uneven institutional capabilities. Smaller economies face higher finance costs and more exposure to external technology suppliers.
These developments indicate that green technology in Asia is transforming from a climate reaction to a key industrial strategy, changing trade patterns and long-term competitiveness. This rapid growth is about more than just energy; it relates to economic strength, industrial leadership, and job creation. The region is developing a complete green tech ecosystem. China now produces over half of the world’s solar panels, has a significant share of battery and turbine manufacturing, and leads in electric vehicle (EV) exports. China’s battery manufacturing reached 1,122 GWh in 2025, up around 44% from the year before.
These diverse approaches show a region experimenting with alternative paths, but they also highlight how policy coherence and grid integration will determine if national triumphs translate into regional leadership. Southeast Asia is also increasing its efforts. Vietnam and Thailand are quickly building solar farms. Singapore is investing heavily in floating solar and energy storage to manage land limitations.
South Korea is pushing forward with offshore wind projects involving private sector participation. These efforts show that the green tech revolution extends beyond China and India; it is a regional trend. At the same time, this scale emphasizes China’s prominent role in renewable energy supply chains, raising concerns about how regional and global transformations may become more dependent on Chinese manufacturing and pricing power.
Read More: China’s Greenhouse Technology Goes Global, Benefiting Farmers Worldwide
The economic impact is significant. Investment in renewables exceeded USD 800 billion worldwide in 2024, with the Asia-Pacific region securing a large portion of that funding. New manufacturing facilities, technology parks, and export-focused production lines are generating millions of jobs for engineers, technicians, and supply chain managers.
For countries like India, Vietnam, and Indonesia, clean tech provides a route to sustainable industrial growth while lowering dependence on imported fossil fuels. However, the longevity of these improvements will be determined by whether investment is directed toward system resilience such as storage, grids, and supply-chain diversification rather than capacity development alone.
However, the transition has its challenges. Grid integration and energy storage are major obstacles. Renewable energy production peaks when the sun shines or the wind blows, which necessitates advanced storage solutions and smart grids. According to the Economic Times, India’s storage-backed renewable capacity is expected to reach only 25–30 GW by 2028, potentially limiting the full capabilities of solar and wind power.
However, the rate of India’s capacity additions has begun to exceed investment in transmission and storage, creating a growing gap between renewable ambition and grid reliability. Without rapid progress in storage and grid flexibility, Asia risks developing an energy system that is clean in principle but limited in practice.
Supply chains for essential minerals lithium, cobalt, nickel, and rare earth elements are heavily concentrated. Asia is both a consumer and producer, but trade dependencies create risks, particularly for countries aiming for energy independence. Geopolitical tensions can disrupt supplies or increase costs, emphasizing the strategic aspect of the green transition. Policy decisions are more important than ever. Governments can speed up the energy transition by:
Policy choices regarding permitting, incentives, and cross-border coordination will determine whether Asia’s renewable expansion results in long-term leadership. Private money strengthens these impacts by promoting innovation and limiting risks. Private capital plays a crucial role. Investors moving funds from old fossil fuels to clean technologies can spark innovation, lower financial risks, and boost resilience against climate impacts. Companies that excel in innovation and ethical supply chains will influence global markets for years to come.
Despite progress, fossil fuels are still deeply rooted in some parts of the region. Coal plants keep running, and fossil energy still meets a significant portion of demand. The Financial Times points out that coal-fired generation in Asia is still substantial. This highlights the need for clean energy growth to outpace fossil fuel dependence to achieve real decarburization.
Read More: China Sees Fastest Green Energy Transition in 2021–25
Clean energy development not only reduces urban air pollution and energy costs, but also enhances resilience and economic competitiveness, reinforcing Asia’s potential to lead the worldwide transformation. Growth in clean energy can cut urban air pollution, reduce long-term energy costs, and provide reliable electricity to rural communities that are currently underserved. Electrifying transport and industrial processes with renewables can enhance economic competitiveness while reducing climate risks.
Asia’s leadership in green technology is also changing geopolitics. Control over battery, solar, and wind technologies is becoming a strategic advantage, affecting trade patterns, energy security, and regional power dynamics. Countries that take decisive action today will secure not just economic leadership but also influence the future rules of the global green economy.
The question is clear: Can Asia lead the world in the green tech revolution? The evidence indicates it can. With its scale, capital, industrial strength, and increasing policy support, Asia has the chance to shape the future of energy. However, leadership will need political determination, coordinated planning, and smart investment. The region cannot afford to be complacent since global competitors are also speeding up their transitions.
Each year that renewables grow brings economic opportunities, environmental benefits, and climate resilience. Asia’s clean energy surge is measurable, transformative, and already changing global markets. The real question is not whether Asia will lead but how boldly it will take advantage of the moment.
