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At close · Tue, Oct 6, 2026
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IEA warns Southeast Asia energy supply risks outpace solutions

The IEA said rising electricity demand, driven by data centers and cooling needs, is intensifying energy costs, partly linked to the Iran war.

Risks to Southeast Asia’s electricity supplies are growing faster than countries can develop solutions to meet rapidly rising demand, according to an International Energy Agency report released Tuesday.

The report highlights a surge in regional power needs to support fast-growing economies, including electricity for data centers and for cooling homes and businesses. It also pointed to rising energy costs, partly tied to the Iran war.

To improve energy security, the IEA urged Southeast Asian nations to share electricity across borders and diversify where they source power.

Analysts cited by the report warned that obstacles such as territorial conflicts between neighbors and differences in national energy market structures could leave the region vulnerable to energy shocks, with IEA executive director Fatih Birol saying the region’s growth-driven energy needs face challenges in an increasingly uncertain global energy landscape.

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