A new report by DNV forecasts that green fuels and feedstocks including hydrogen, ammonia, sustainable fuels, and carbon capture will contribute over 25 per cent of total emissions reductions in the Asia-Pacific (APAC) region by 2050. These “new energy commodities” (NECs) are expected to play a pivotal role in decarbonising hard-to-abate industries such as aviation, maritime, steel, power, industrial chemicals, and cement.
The study, titled “The Role of New Energy Commodities in Decarbonizing Asia Pacific,” was launched during the Asia Clean Energy Summit (ACES), held alongside Singapore International Energy Week (SIEW) 2025. Building on DNV Energy Transition Outlook, it underscores the urgent need for countries across APAC to accelerate investment in clean fuel infrastructure and cross-border trade frameworks.
While most of the region’s progress toward net zero will come from electrification and renewables, DNV stresses that NECs will be critical for sectors that cannot fully electrify. “Reaching net zero won’t be possible without NECs, especially in Asia-Pacific where diverse solutions are needed due to the region’s geography,” said Brice Le Gallo, Vice President and Regional Director, Asia Pacific, Energy Systems at DNV. “Scaling up these technologies will require major investment, strong partnerships, and bold innovation.”
The report highlights growing geographical imbalances between supply and demand. Countries like Japan, South Korea, and Singapore are expected to emerge as major NEC importers by 2050 due to limited domestic production capacity. In contrast, Australia is well positioned to lead the regional export market, though competition from other producers is intensifying.
By 2050, meeting industrial and energy needs across APAC will demand massive infrastructure expansion an estimated 12 billion solar panels, 2.7 million wind turbines, 189 new ports, and over 1,200 energy carriers to support the production and movement of new energy commodities.
According to Thomas Koller, DNV regional lead for hydrogen, ammonia, and sustainable fuels, “From sustainable aviation fuels in the skies to ammonia and methanol powering ships in Singapore, and hydrogen driving green steel, each sector has a clear decarbonisation pathway. Carbon capture and storage will also be vital for industries like steel and cement where electrification isn’t yet feasible.”
DNV identifies three strategic priorities to accelerate adoption of green fuels in the region — strengthening regional supply chains through coordinated infrastructure investment, ensuring sustainable biomass management for aviation and maritime fuel use, and enhancing carbon pricing and certification frameworks to drive carbon capture technologies.
Le Gallo added that the energy transition is already underway, with global emissions expected to peak this year. However, he warned that achieving APAC climate goals will require rethinking how energy is made, moved, and used. “Strong, unified policies across the region are essential to overcome high costs, infrastructure gaps, and inconsistent standards. Full alignment is challenging, but practical cooperation between countries can help scale industrial decarbonisation and deliver long-term sustainability.”