ISLAMABAD: The Asian Development Bank has announced an ambitious $70 billion initiative to strengthen energy integration and digital connectivity across the Asia-Pacific region by 2035, aiming to enhance cross-border electricity trade, modernise power grids, and expand broadband access.
The announcement was made during the bank’s annual meeting held in Samarkand from May 3 to 6. ADB President Masato Kanda emphasized that energy and digital access would be critical drivers of the region’s future growth, competitiveness, and connectivity.
The initiative comprises two major components: a $50 billion Pan-Asia Power Grid Initiative and a $20 billion Asia-Pacific Digital Highway project. The power grid programme aims to connect national and subregional electricity systems, enabling the seamless flow of renewable energy across borders. It will support transmission infrastructure, substations, storage systems, and grid digitalisation, while also facilitating renewable energy export projects and hybrid generation-storage facilities.
By 2035, ADB plans to integrate around 20 gigawatts of renewable energy, develop 22,000 kilometres of transmission lines, improve energy access for 200 million people, and reduce regional power sector emissions by 15 percent.
The digital highway initiative will focus on building AI-ready infrastructure, including fibre-optic networks, satellite links, and regional data centres. It also aims to deliver first-time broadband access to 200 million people and improved connectivity for another 450 million, while reducing costs in remote areas and generating up to four million jobs.
Pakistan, which continues to face a complex energy landscape despite surplus installed capacity, could potentially benefit from enhanced regional power trade. Officials, however, noted that the initiative is still at an early stage and will require detailed technical, financial, and diplomatic evaluation before any formal engagement.
The programme reflects a shift toward regional cooperation, building on existing frameworks such as the South Asia Subregional Economic Cooperation and broader Asia-Pacific energy integration efforts, positioning interconnected infrastructure as a cornerstone of future economic growth.
Story by Khaleeq Kiani
