Singaporean companies lead renewable energy shift in APAC

The companies are also injecting more capital into the energy transition.

Singapore is spearheading the shift to renewable energy in the Asia Pacific, with 30% of companies saying they are sourcing over half their energy from low-carbon sources.

According to a survey by ABB’s Energy Industries division, this data is even higher than the 25% logged for the region. This indicates that businesses in the city-state are accelerating their efforts to integrate clean energy into their operations.

“Looking ahead, 82% expect to increase their renewable energy use by more than 20% in the next five years (compared to 77% regionally), underscoring a strong pipeline of demand that will help advance Singapore’s decarbonisation goals,” ABB said.

The survey also found that Singapore companies are putting more capital into energy transition, with 68% planning to allocate over 10% of their capital expenditure to related initiatives over the next five years. In the near term, 26% expect investment in transition efforts to increase by over 50% in the coming year, compared to 19% regionally.

Artificial intelligence is seen as a critical tool in this transition, with 78% of companies underscoring strong local confidence and an opportunity for companies to leverage this for data-driven energy management, accelerate investment in smart grid solutions and support interoperability.

Furthermore,  35% said they prioritise automation, 34% digitalisation for operational transformation, whilst 31% said electrification is driving decarbonisation and progress toward net-zero goals.

ABB said solar is poised to lead Singapore’s energy transition, with 75% of respondents already using this as a main source of renewable energy which is even higher than 73% in APAC.

“Looking ahead, Singapore companies view solar (60%), green hydrogen (46%), and wind (42%) as the top three ‘game changers’ for renewables over the next five years, signalling optimism for emerging low-carbon technologies beyond solar,” ABB said.