Asia Power Grids Face Capacity Strain as AI and Data Centers Drive Electricity Demand

BMI Country Risk and Industry Research has raised electricity consumption forecasts for Thailand, Malaysia, and Vietnam due to growing data center investment and AI workloads. The research unit projects annual average consumption growth of 2.9 percent, 3.3 percent, and 5.6 percent respectively over the next decade. Regulatory tightening in parts of the region is limiting grid-connected load growth, while a resurgence in thermal power is anticipated as policymakers seek dispatchable energy solutions.