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Thu, October 30, 2025

ABAC report calls for sustainable infrastructure to power digital economy development

B360
B360 October 29, 2025, 2:53 pm
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GYEONGJU, SOUTH KOREA: The APEC Business Advisory Council (ABAC) on Wednesday released a report calling for the sustainable development of energy infrastructure to power the drastic growth of the digital economy and data centres.

The report "Powering the Digital Economy: The Data Center Dilemma" highlighted both the economic benefits and environmental impact of the digital economy. Over the past few years, the mass adoption of streaming platforms, online gaming, and cloud storage, combined with billions of devices in constant operation, has fueled unprecedented demand for data centres and energy to power them. The rise of artificial intelligence (AI) is scaling the pressure for this critical digital infrastructure.

Data centres, the backbone of the digital economy, are driving unprecedented electricity demand. As AI adoption accelerates, total consumption from data centres could quadruple by 2030, with some AI clusters already drawing as much power as entire cities.

"Today, one in five data centres is at risk of power shortages or grid connection delays as demand outpaces available capacity. While data centres can be built in months, the energy infrastructure that sustains them takes years to expand. Without timely, coordinated action, APEC economies face mounting power shortages, infrastructure delays, and an accelerating digital divide," said Jan De Silva, chair of ABAC's AI & Digital Innovation Working Group.

The report urged policymakers to work with the private sector to accelerate the development of sustainable digital infrastructure, from data centres and computing capacity to water and power systems that support them.

It called on APEC economies to integrate digital economy demand forecasting into their energy planning to ensure economies are well-positioned for sustainable digital transformation.

"Businesses see enormous opportunity in AI, but without sustainable infrastructure, that opportunity won't be shared equally," said Lee Kyu-ho, ABAC 2025 chair. "This is a chance for APEC to lead by strengthening the foundations of a digital economy that advances innovation, enhances competitiveness, and supports our collective climate goals."

By RSS/Xinhua

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