Singapore is emerging as a leader in the energy transition, with a significant portion of its businesses committing to renewable energy and digital innovation, according to the Asia Pacific Energy Transition Readiness Index 2025 by ABB’s Energy Industries division. The research indicates that 68% of Singaporean companies plan to allocate over 10% of their capital expenditure (CAPEX) to energy transition initiatives in the next five years.
The survey, which included over 4,000 business leaders across 10 industries and 12 markets, highlights that 30% of Singaporean firms already source more than half of their energy from renewable sources, surpassing the regional average of 25%. Furthermore, 82% of respondents expect to increase their renewable energy use by over 20% in the next five years.
Digital technologies are seen as crucial enablers of this transition, with 78% of Singaporean respondents identifying artificial intelligence (AI) and automation as key factors. Abhinav Harikumar, VP of ABB’s Energy Industries division, Southeast Asia, stated, “Accelerating progress from Singapore to the wider region requires aligning investments with transition priorities and harnessing technology as a catalyst.”
Solar energy is currently the primary renewable source for 75% of Singaporean respondents, with solar, green hydrogen, and wind identified as the top ‘game changers’ for the next five years. The findings align with Singapore’s national energy strategies, which include ambitious targets for solar capacity and low-carbon electricity imports.
The research underscores the need for coordinated action and investment to maintain Singapore’s leadership in the energy transition, with a focus on technology, infrastructure, and talent development.
