Nurturing supply and demand: How Asia’s energy players can accelerate green growth

| Article

A substantial opportunity for green growth and business-building in Asia is being accelerated by ongoing global climate and geo-political events, with momentum particularly strong in the energy industry. Currently accounting for almost three-quarters of global CO2 emissions, the energy sector (electricity, heat and transport) is expected to play a key role in the world’s pathway towards a low-carbon future. Recent McKinsey analysis shows that the shift to net-zero power could generate more than $1 trillion of sales per year by the end of the decade.1Playing offense to create value in the net-zero transition,” McKinsey Quarterly, April 13, 2022.

With stronger assets, capabilities, and relationships compared with independent start-ups,2Building new businesses: How incumbents use their advantages to accelerate growth,” McKinsey, December 12, 2019. corporate ventures are well-placed to create value during the transition—provided they move quickly. To identify and scale successful green businesses, organizations can look to balance both sides of the energy supply-demand equation. This requires organizations both to invest in supply (either by launching their own venture or partnering across the value chain) and to design for consumer demand when faced with large-scale shifts.

illustration electric vehicle plugged in

Capturing growth in Asia’s emerging EV ecosystem

The energy transition is well underway in Asia. As it progresses, capital will be reallocated, new markets will open, and technologies will scale. When considering green business-building opportunities, organizations that pivot between investing in supply and designing for demand will be at the forefront of this next wave of value creation.

Explore a career with us