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Asia's Water & Power Systems Crumble Under Climate Change
8 Dec, 2025
Summary
- Asia needs $4 trillion for water and sanitation by 2040.
- Extreme weather could cost Asia-Pacific power companies $8.4 billion yearly.
- Asia faces triple threat: environment, low investment, climate change.
Asia's critical water and power systems are facing unprecedented challenges due to climate change, jeopardizing millions and necessitating substantial investment. Water-related disasters are on the rise, with the Asian Development Bank projecting a need for $4 trillion in water and sanitation funding between 2025 and 2040. This region, already vulnerable to floods and droughts, also contends with pollution and unchecked development, further degrading vital water ecosystems.
Simultaneously, the region's power sector is increasingly exposed to climate-related damages. Extreme weather is projected to cost Asia-Pacific power companies approximately $8.4 billion annually by 2050, an increase from current figures. Extreme heat is identified as the costliest hazard, impacting power plant efficiency and straining transmission networks across major economies like China, India, and Indonesia.
