The Asian Development Bank (ADB) has outlined plans to support $70 billion in energy and digital infrastructure projects through 2035, with a focus on strengthening regional connectivity by linking power grids and digital networks across Asia and the Pacific. The program is designed to expand cross-border electricity trade while improving broadband access, reflecting a broader push to modernize essential infrastructure.
“Energy and digital access will define the region’s future,” said ADB President Masato Kanda. “These two initiatives build the systems Asia and the Pacific need to grow, compete, and connect. By linking power grids and digital networks across borders, we can lower costs, expand opportunity, and bring reliable power and digital access to hundreds of millions of people.” His remarks underscore the central role that power grids and digital networks will play in shaping long-term regional growth.
At the core of the strategy is the Pan-Asia Power Grid Initiative, which aims to connect national and subregional systems to enable renewable energy to move efficiently across borders. Through collaboration with governments, utilities, private sector participants, and development partners, ADB plans to mobilize $50 billion by 2035 for cross-border power infrastructure. The effort will prioritize transmission expansion, grid integration, substations, storage, and grid digitalization, alongside generation projects tied to electricity trade. By 2035, targets include integrating about 20 gigawatts of renewable energy across borders, building 22,000 circuit-kilometers of transmission lines, improving energy access for 200 million people, generating 840,000 jobs, and reducing regional power sector emissions by 15%. The shift signals a move toward a more coordinated regional framework, building on existing programs such as the South Asia Subregional Economic Cooperation program, the Bay of Bengal Initiative for Multi-Sectoral Technical and Economic Cooperation grid interconnection planning, the ASEAN Power Grid, and the Central Asia Regional Economic Cooperation Energy Strategy 2030.
Complementing this, the Asia-Pacific Digital Highway will mobilize $20 billion by 2035 to expand digital corridors and data infrastructure, helping economies capitalize on AI-driven growth. Investments will cover terrestrial and subsea fiber networks, satellite connectivity, and regional data centers, alongside policy and regulatory support such as cybersecurity risk management and skills development. The initiative aims to deliver first-time broadband access to 200 million people and improve connectivity for another 450 million, while lowering costs in remote and landlocked areas by about 40% and creating 4 million jobs. ADB plans to finance $15 billion directly and raise $5 billion through cofinancing, with additional backing from the Government of the Republic of Korea for a Center for AI Innovation and Development in Seoul. Together, these initiatives reinforce the integration of power grids and digital networks, positioning them as critical drivers of inclusive and resilient growth.
