Welcome Remarks by Lavan Thiru, Energy Efficiency Track, Asia Clean Energy Summit 2025
His Excellency Datuk Badrul Hisham bin Mohd., Deputy Secretary General, Ministry of Economy, Malaysia
Distinguished guests,
Ladies and Gentlemen,
1. Good morning, everyone. A very warm welcome to the Energy Efficiency Track on Day 2 of the Asia Clean Energy Summit (ACES) 2025, brought to you by Infrastructure Asia (InfraAsia) and the Sustainable Association of Singapore (SEAS). I am excited to be here. First, big congratulations to SEAS for yet another outstanding edition of the Summit. Thank you for the opportunity to collaborate. We are thrilled to dedicate half a day to championing Energy Efficiency – a topic that is close to our hearts and critical to shaping a sustainable future. Your presence here today gives us additional resolve.
2. Just last month, a landmark scientific review, “Planetary Health Check 2025” delivered an urgent message: seven out of nine planetary boundaries have now been breached1. This means more than three-quarters of Earth’s life-support systems are outside the safe zone, pushing us closer to tipping points that could have irreversible consequences. Global warming is accelerating: 2025 is on track to be the second or third hottest year ever recorded2, with temperatures around 1.4°C above pre-industrial levels. The health of our planet is in decline, and the urgency to act has never been greater.
3. On Day 1 of this Summit, during the Clean Energy Leaders’ Dialogue and the Singapore-IRENA High-Level Forum, we heard the numbers – and they are staggering. To stay on track for net zero (or to keep 1.5°C alive), the world needs USD 31.5 trillion in annual investments in renewable energy and Energy Efficiency until 20303. For Southeast Asia alone, that figure is USD 200 billion every year. Today, we remain far from that target. Yet, there is hope. For the first time in history, renewable energy – led by solar and wind – has overtaken coal as the world’s largest source of electricity generation in the first half of this year4. This is a turning point.
4. But, while the world celebrates record growth in renewables, we cannot ignore the other half of the equation – Energy Efficiency. Global clean energy investments may have hit a record USD 2.1 trillion in 20245, but Energy Efficiency still lags behind where it needs to be. COP29 warned us: we are falling behind on the goal to double efficiency by 2030. The call is clear – triple investments to reach USD 1.8 trillion annually. Why does this matter? Because efficiency alone could deliver 40 percent of the emissions reductions needed under the Paris Agreement6. So, the message is simple: renewables alone cannot win this race. We must manage demand as aggressively as we scale supply. Every kilowatt saved is a step closer to net zero.
5. So where do the opportunities lie? Experts – global, regional, and homegrown leaders like Surbana Jurong agree: industrial clusters are critical targets for cutting emissions7,8. This sector alone accounts for about 30 percent of global CO₂ emissions, and industrial parks contribute an estimated 15 to 20 percent. That makes them one of the most powerful levers for change.
6. The urgency is undeniable. These hubs of heavy industry must decarbonise – and fast. But this isn’t just about cutting carbon; it’s also about unlocking innovation. The potential spans renewable energy and energy storage, low-carbon transport, and advanced solutions like carbon capture, utilisation and storage (CCUS). Together, these technologies can transform industrial parks into engines of sustainability and growth.
7. Beyond Climate Action, decarbonising industrial parks will strengthen global business competitiveness, especially as export-driven economies like Malaysia, Indonesia, Cambodia, and Vietnam ramp up demand. Asia’s manufacturing boom has doubled its emissions share over the past two decades9 - the pressure and opportunity are immense. Our speaker from Sembcorp will share more on this in just a moment.
8. Energy Efficiency represents a trillion-dollar opportunity in emerging markets over the next decade. Global building stock will hit 415 billion square metres by 2050. Yet, only about one percent of buildings are refurbished annually – far short of the three to five percent needed to meet climate goals. Across Southeast Asia, markets like the Philippines, Vietnam, and Indonesia are demonstrating significant progress with green building codes and national commitments. Meanwhile, ageing infrastructure and high electricity tariffs in countries like India and the Philippines make energy-efficient retrofits economically compelling.
9. However, challenges remain – from weak enforcement and tariff subsidies to fragmented financing. InfraAsia’s market study highlights key barriers to scaling adoption: building owners often perceive efficiency upgrades as costly; solution providers struggle with limited access to financing; and financiers typically view small-ticket projects – ranging from USD 200,000 to USD 2 million – as unattractive or not worth pursuing.
10. Energy Efficiency cannot remain a side initiative or an afterthought. At InfraAsia, we see Energy Efficiency as sharing many traits as traditional infrastructure – a “first fuel” that can be scaled for a resilient, low-carbon future. Governments and investors hold the keys to unlocking this potential by creating dedicated funding mechanisms, enforcing supportive policies, driving public-private partnerships, and prioritising efficiency in infrastructure plans.
11. As you hear today’s success stories, let’s connect opportunities to solutions. This session brings the ecosystem together to turn intent into impact. I would like to close tying back to where I started, that is, quoting one of the researchers10 of the Planetary Health Check 2025. He said, “We are witnessing widespread decline in the health of our planet. But this is not an inevitable outcome. The drop in aerosol pollution and healing of the ozone layer, shows that it is possible to turn the direction of global development. Even if the diagnosis is dire, the window of cure is still open. Failure is not inevitable; failure is a choice. A choice that must and can be avoided.”.
12. Thank you, and I look forward to your stories of innovation, unlocking new opportunities, and building a more energy-efficient and sustainable future for our cities.
[1] Seven of nine planetary boundaries now breached, Stockholm Resilience Centre, Sep 2025 | Link
[2] State of the climate: 2025 on track to be second or third warmest year on record, Carbon Brief, Jul 2025 | Link
[3] NDCs 3.0 a ‘Make or Break’ for Global Goal to Triple Renewables by 2030, IRENA, Nov 2024 | Link
[4] Global Electricity Mid-Year Insights 2025, Ember, Oct 2025 | Link
[5] Global Investment in the Energy Transition Exceeded $2 Trillion for the First Time, BloombergNEF, Jan 2025 | Link
[6] Global Coalition Calls for Stronger Progress on Energy Efficiency at COP 29, SE for All, Nov 2024 | Link
[7] Decarbonising Industrial Parks: A Strategic Imperative, Surbana Jurong, Sep 2023 | Link
[8] How to estimate economic value, jobs and emissions at industrial clusters level, WE Forum, Sep 2024 | Link
[9] Building Asia’s Low-carbon Industrial Future, Sembcorp, July 2025 | Link
[10] Johan Rockström, Director of the Potsdam Institute for Climate Impact Research, and researcher at the Stockholm Resilience Centre.
