On 12 April 2026, the “Asia Zero Emission Community Plus” (AZEC+) summit convened in Tokyo, bringing together heads of state or energy ministers from Japan, South Korea, Australia, Indonesia, Thailand, Vietnam, the Philippines, Malaysia, Brunei, Singapore and Cambodia. The summit’s headline outcome was the launch of a USD 10 billion initiative called “POWERR Asia” – an acronym for Partnership for Offshore Wind, Energy Efficiency, Renewable Resources & Resilience.

Japan, as the largest contributor, committed USD 6 billion in concessional loans and grant aid through the Japan International Cooperation Agency (JICA) and the new “Japan Asia Energy Transition Fund”. The remaining USD 4 billion will come from a coalition of partners including the ADB (USD 1.5 billion), Australia’s export credit agency (USD 0.8 billion), South Korea’s Economic Development Cooperation Fund (USD 0.5 billion), and contributions from the other member countries.

POWERR Asia is structured around four pillars:

1. Offshore Wind Acceleration. The initiative will fund feasibility studies, environmental impact assessments and grid connection infrastructure for at least 8 GW of offshore wind projects across the region. The first approved projects include a 1.2 GW wind farm off the coast of Vietnam’s Bạc Liêu province (sponsored by Ørsted and a Vietnamese state utility) and a 500 MW floating wind pilot in the Philippines’ Tablas Strait.

2. Energy Efficiency Scale up. A dedicated USD 1.5 billion window provides concessional loans for industrial energy efficiency retrofits, smart building management systems, and efficient cooling solutions. Thailand’s Eastern Economic Corridor will be the first “energy efficiency industrial zone”, aiming for a 25% reduction in energy intensity by 2029.

3. Renewable Resource Integration. This pillar funds battery storage, grid modernisation and demand side management. Key projects include a 400 MWh battery system in Indonesia’s Java Bali grid and a virtual power plant pilot in Singapore integrating rooftop solar from 5,000 residential buildings.

4. Resilience and Cross Border Connectivity. The initiative supports micro grids for disaster prone island communities and power interconnectors. The first interconnector project – between Laos (hydropower) and Cambodia (through a new 300 km transmission line) – has already broken ground with a USD 450 million POWERR Asia loan.

Japanese Prime Minister Shigeru Ishiba (elected 2025) said: “Energy security and climate action are two sides of the same coin. With POWERR Asia, we are not just building power plants – we are building a shared vision for a resilient, decarbonised Asia.” Environmental groups welcomed the focus on offshore wind but warned that the initiative should not be used to justify new coal or gas projects. The initiative’s governance includes a “sustainability board” with representatives from civil society and academic institutions, tasked with reviewing all projects against a red flag list.

The first disbursements are scheduled for the third quarter of 2026, with an aim to mobilise an additional USD 15 billion in private capital through co financing.