Global Energy analyst Jeff Currie tells Bloomberg the Energy Transition is “TurboCharged” – but it’s not about climate, and maybe never was.
By far the biggest growth in energy consumption is going to come from the developing world in Asia and Africa, and those countries are no longer willing to be held hostage to fossil fuels.
Case study – Thailand.
Thailand is using the oil shock caused by the Iran war to accelerate a shift toward electrification and domestically sourced energy, trying to turn a supply crisis into a push for greater security.
Rising prices have reinforced the government’s drive to electrify the economy, including greater adoption of battery-powered vehicles, as policymakers seek to reduce dependence on imported crude that accounts for about 90% of Thailand’s oil supplies, Energy Minister Akanat Promphan said in an interview with Bloomberg Television.
Global energy prices have soared since the US and Israeli attacks on Iran resulted in the collapse of shipments of oil and liquefied natural gas through the Strait of Hormuz. South and Southeast Asian nations that relied heavily on the Middle East because of its proximity have been particularly hard hit.
Thailand wants to shift more of its energy use to electricity, which can shield the economy from global price swings in fossil fuels as well as offering environmental benefits, Akanat said. Electricity only made up 19% of Thailand’s final energy consumption in 2024, behind nearby countries like Vietnam, Singapore, Laos and Malaysia, according to the International Energy Agency.
The government this month released its new power development plan, which sets a minimum clean energy share of 65%, with several more aggressive options also under consideration. The most renewable-heavy scenario would lift that portion to 89%.
Thailand is considering generating 89% of its electricity from cleaner sources by 2050 as it formally puts a more ambitious long-term power plan to public consultation.
The draft released Tuesday sets a minimum clean-power share of 65%, with several more aggressive options also under consideration. The most renewable-heavy scenario would lift that share to 89%, well above the target outlined by Energy Minister Akanat Promphanlast month.
The plan comes as the country faces rising electricity demand from data centers and advanced manufacturing while trying to cut its reliance on imported natural gas, which still supplies most of its power. That dependence leaves Thailand exposed to swings in global fuel prices, a risk highlighted by the Middle East conflict and higher gas import costs.