Southeast Asia Continues Gas Plant Buildout Despite Middle East Price Shock

Southeast Asia's natural gas-fired power plant construction is continuing despite higher gas prices driven by the Middle East conflict, according to Global Energy Monitor. The think tank reported that the region has around 100 GW of new gas-fired generation capacity under construction, alongside about 70 GW of LNG import capacity in development.

The ongoing expansion of LNG import infrastructure risks deepening the region's exposure to supply disruptions and price volatility, the report warned. Global Energy Monitor noted that Southeast Asia could increase its domestic natural gas production to lessen its reliance on imported liquefied gas, but cautioned that such a shift would take considerable time.

The think tank identified at least 20 fields that could add approximately 62 billion cubic meters per year of production capacity by 2035. However, new supply takes years to develop and may not even reach domestic power markets.