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Downstream Indonesia Malaysia
Jamal Alblooshi
8 January 2026
Follow @PetroleumEcon
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Southeast Asia’s digital age requires the right energy mix

Indonesia and Malaysia are at the dawn of breathtaking digital capabilities. Their energy infrastructure must keep up with their ambitions

Indonesia and Malaysia are powering Asian economic development. The former grew by 5% in the first nine months of 2025 and is projected to retain that growth through to 2027, according to the World Bank. The latter is projected to see similar growth levels, with real GDP growing by more than 5% in 2024, according to the OECD. Much of that growth is being accelerated by efforts to drive the digital economy. Malaysia is now Southeast Asia’s fastest growing digital economy, growing at 15% year-on-year.  Indonesia is on track to have the region’s largest digital economy, exceeding $130b in 2025, according to the International Trade Administration. The IEA predicts electricity demand from d

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