Cistran Finance Exploring the Spirit of Capitalism's New Frontier

Monday, June 18, 2018

Asia facing tough energy questions

Asia now consumes two times more energy than the United States and there is no indication that its appetite for power will subside, according to a recent report by HSBC.

Asia's GDP is likely to grow by roughly 65 percent by 2020, and to fuel that expansion, energy consumption will need to increase by almost 60 percent, most of it in China, India and Indonesia, the authors of a new HSBC report, "Energy choices for Asia," said.

Asian nations face some tough decisions, according to the report. They need to use cleaner fuels and improve their energy mix without undermining the competitiveness of exports.

Governments will need to set national energy or carbon intensity targets and encourage more non-carbon energy sources, the authors said.

"Asia's policymakers have some serious work ahead of them-making sure they have enough energy to power that all-important growth while keeping one eye on the costs of doing so and another on the smoggy skies above them," the report said.