INFRAME ASIA, BUSINESS – Asian governments are strengthening energy security after disruptions linked to the Iran war exposed risks across oil supply routes. Countries are expanding reserve plans, coordinating with regional partners, and reviewing clean energy targets. The moves are intended to reduce the region’s vulnerability to future supply shocks.
Southeast Asia has been particularly exposed because around 80% of the oil transported through the Strait of Hormuz from the Gulf went to the region before the conflict began. Disruptions to that route have sharpened concerns among governments that rely heavily on imported fuel. Officials are now looking at both immediate buffers and longer-term changes to the energy system.
Nine Southeast Asian countries said in a joint statement with Japan and Australia that they would support the development of national oil stockpiling systems and voluntary regional stockpiling. The approach would give participating countries additional options during emergencies. Details on how the reserves would be managed and accessed remain subject to further coordination.
Japan is also working with Asian partners to strengthen crude oil reserves through initiatives linked to the Asia Zero Emission Community. Japanese officials said partners in the region had discussed action plans to increase stockpiling capacity. Separate discussions with Saudi Arabia and the United Arab Emirates also focused on cooperation to improve Asia’s oil supply buffers.
The Philippines, which imports nearly all of its oil and fuel, plans to establish a national oil reserve by the end of 2027. Energy Secretary Sharon Garin said the reserve could later be developed into a regional stockpile. Under the proposed approach, countries storing fuel in the Philippines could receive priority access to their supplies during an emergency.
The Philippine plan comes as the country chairs the Association of Southeast Asian Nations this year. Garin said decisions about hosting regional stocks and the terms for selling them would be made by the countries involved. That leaves governments to work through practical questions about storage locations, access rules, and how costs would be shared.
Alongside oil reserves, ASEAN members have pledged to raise the share of renewable energy in their energy mix. Their targets call for renewables to account for 30% of total primary energy supply and 45% of installed power capacity. The goals reflect an effort to reduce dependence on imported fossil fuels while expanding cleaner sources of electricity.
Current figures show the scale of the challenge facing the region’s clean energy transition. Renewables account for 14.1% of ASEAN’s primary energy supply, while renewable sources make up 33.7% of installed power capacity. Both figures remain below the bloc’s earlier targets for 2025, according to the latest ASEAN energy outlook.
Governments have also agreed to advance plans for a regional electricity grid that has been discussed for decades. The concept was first announced in 1997, but progress has been slow because of the scale of investment and coordination required across national systems. Officials now say they are reviewing ways to accelerate implementation beyond the earlier timeline that pointed to 2045.
A more connected power network could allow participating countries to trade electricity across borders and make better use of different energy resources. Such a system would require new transmission links, compatible rules, and agreements on investment and power trading. The renewed focus on the grid comes as governments reassess how regional cooperation can help manage energy risks.
The initiatives combine short-term efforts to secure fuel supplies with longer-term plans to diversify energy sources. Oil reserves could help countries respond to temporary disruptions, while renewable energy and regional electricity links would require sustained investment over time. Officials across Asia are now working on the arrangements needed to turn the proposals into practical measures.
