Southeast Asia Turns to Nuclear as Iran War Disrupts Energy Supplies

March 26, 2026 7:30 AM ET
By The Associated Press

BANGKOK, Thailand — Nuclear energy is gaining renewed interest in Southeast Asia as nations strive to meet escalating energy demands and support the burgeoning market for artificial intelligence-driven data centers.

A number of Southeast Asian countries are revisiting previously shelved nuclear power projects and establishing ambitious targets, with nearly half of the region expected to generate nuclear energy by the 2030s. Even nations that have not yet embarked on nuclear initiatives are showing renewed interest in the technology.

Despite the absence of any existing nuclear energy production, Southeast Asia faces increasing pressure to minimize emissions that contribute to climate change, all while addressing the rising demand for electricity. The ongoing conflict in Iran has underscored vulnerabilities in energy supplies, prompting countries to explore alternatives to traditional oil and gas resources.

The rise in global crude oil prices, propelled by the conflict, has further galvanized nations' commitment to advancing nuclear power solutions. Notably, Vietnam and Russia have recently made significant strides in their nuclear collaboration amid growing energy security concerns in the region.

The International Energy Agency (IEA) projects that Southeast Asia will be responsible for a quarter of the increase in global energy demand by 2035, spurred in part by the rapid expansion of data centers throughout the region. Countries such as Indonesia, Malaysia, Singapore, Thailand, Vietnam, and the Philippines are actively working to establish additional data centers to facilitate AI development, which considerably escalates energy requirements.

This resurgence in nuclear energy reflects a broader international trend, with approximately 40 nations, including the United States, Japan, South Korea, and China, targeting a threefold increase in nuclear energy capacity by 2050. Southeast Asia is anticipated to account for around 25% of the expected 157 gigawatts of capacity from newcomer nuclear nations by mid-century, according to the World Nuclear Association.

Southeast Asia Revisits Nuclear Power

Five of the 11 members of the Association of Southeast Asian Nations — Indonesia, Malaysia, Thailand, Vietnam, and the Philippines — are actively pursuing nuclear energy programs. Vietnam, for instance, is in the midst of constructing two nuclear power plants with support from the Russian state corporation Rosatom. The Prime Minister has characterized these projects as