ASIA’S JOURNEY TO PROSPERITY

Policy, Market, and Technology over 50 Years

Chapter 8: Infrastructure Development
 Outline

01 The role of infrastructure

02 Overview of Asia’s infrastructure development
03 Energy
04 Transport
05 Urban water supply
Telecommunications and information and communications
06 technology

07 Looking ahead
08 Questions and further readings
2
 1. The role of infrastructure
• Infrastructure is a precondition for economic development and essential for sustainable
and inclusive growth.
Earlier studies using macro-
Infrastructure facilitates data obtained estimates of
participation in the workforce, the elasticities of total output to
production of goods and services, infrastructure capital of between 0.20 and 0.40
and distribution of products to (ADB 2017), implying a 1% increase in
markets, and promotes technological progress. infrastructure stock was associated with a
0.20%–0.40% increase in output.
Access to electricity, roads and
railways, safe drinking water,
and quality communications Many recent micro-data
are all essential parts of studies, which tried to control
people’s welfare. Infrastructure helps children the endogeneity problem,.
to go to school, women to work outside their confirmed strong contribution of infrastructure
homes, and people to stay healthy, and to development.
promotes more social interaction. 3
 1. The role of infrastructure (cont.)
• Infrastructure is closely associated with development.

50
11

40
10

Poverty Rate

30
9

20
8

10
7

0
6

0 2 4 6 8 10 12 0 2 4 6
Infrastructure Index Infrastructure Index

Note: Infrastructure index is computed based on first principal component of infrastructure stocks in roads, airport, electricity, telephone, mobile, broadband, water and
sanitation. Higher values represent greater infrastructure availability.
Source: Asian Development Bank. 2017. Meeting Asia’s Infrastructure Needs. Manila. 4
 2. Overview of Asia’s infrastructure development
• Asian countries made significant efforts to improve infrastructure in the past 50 years,
contributed by both public and private sectors. But there were large variations across
countries.
Infrastructure Investment as % of GDP, Latest Years during 2010-2014
8.0
7.0 6.8 6.6
6.0 5.7 5.4 5.1
5.0 4.9
4.3 4.2
4.0 3.7
3.0 2.6 2.6 2.5 2.3 2.2 2.1 2.1 1.9 1.8
2.0
1.0
-

GDP = gross domestic product, PRC=People’s Republic of China Public Private

*Central government budget only.
Source: ADB. 2017. Meeting Asia’s Infrastructure Needs. Manila. 5
 2. Overview of Asia’s infrastructure development (cont.)
• Despite much progress, there remain large infrastructure deficits and differences among
countries in Asia.

In 2017, about 350 1.5 billion lacked

million people in the improved sanitation
region were without facilities
electricity 300 million
lacked
improved
Asia’s contributions to
1 billion lived more sources of
emissions and climate
than 2 kilometers drinking
change also remain a
from an all-season water
concern
road
6
 3. Energy
• Major developments in technological infrastructure for the provision of electricity in Asia
began as early as the late 19th century.

1878: First public electric 1882: First Chinese power plant 1905: Bangalore (now
lighting system at Tokyo’s in Shanghai started providing Bengaluru), India,
central telegraph station electricity for business and became the first Asian
residential lighting and later for city with electric
industrial manufacturing. streetlights.

7 7
 3. Energy (cont.)
• Primary energy sources are consumed for electricity and other purposes such as transport
and heat as final energy consumption.
Electricity Generation Per Capita in Selected Economies, 1971 and 2018
(kwh/capita)
Examples of primary energy sources Republic of Korea
Australia
Coal, oil, natural gas, nuclear, Japan
hydropower, wind, solar, geothermal, OECD
ocean (tidal, wave, and thermal), and Malaysia
biomass PRC
World
Thailand
India

- 2,000 4,000 6,000 8,000 10,000 12,000 14,000

kWh = kilowatt-hour, OECD = Organisation for Economic Co-operation and Development, PRC=People’s Republic of China.
Note: Per capita electricity generation estimated with Enerdata’s electricity generation data and World Bank’s population data.
Sources: Enerdata. 2019. Global Energy Statistical Yearbook. [Link]
[Link]; and World Bank. World Development Indicators. [Link] (accessed 29 October
2019).

• From 1971 to 2018, electricity generation per capita grew dramatically in Asia and
around the world. 8
 3. Energy—Asia’s primary and final energy consumption
• Asia’s final energy consumption increased significantly—by 13.5 times—between 1965
and 2018.
Primary Energy Consumption, 1965 and 2018
15,000 (million tons of oil equivalent) 13,865

10,000

5,986 5,669
5,000 3,703
2,610
442
-
Asia OECD World
1965 2018
OECD = Organisation for Economic Co-operation and Development
Sources: BP. 2019. BP Statistical Review of World Energy 2019. [Link] and
World Bank. World Development Indicators. [Link] (accessed 29 October 2019).
9
 3. Energy—Asia’s primary and final energy consumption (cont.)
• In Asia and the Pacific, coal is the primary energy source, followed by oil and natural gas,
although the region’s dependency on fossil fuels decreased somewhat as nuclear and
renewable energy grew.
Primary Energy Consumption in Asia, 1965 and 2018
Hydropower Renewables Hydropower Renewables
8% 0% Nuclear 7% 4%
2% Oil
Oil
28%
37%
Coal
54%
1965 2018 Coal Natural gas
47% 12%

Natural gas
1%

OECD = Organisation for Economic Co-operation and Development.

Sources: BP. 2019. BP Statistical Review of World Energy 2019. [Link] and
World Bank. World Development Indicators. [Link] (accessed 29 October 2019).
10
3. Energy—Asia’s primary and final energy consumption (cont.)
• Along with rapidly growing energy consumption, carbon dioxide (CO2 ) emissions have
also grown.
Annual CO2 Emissions (Mt) Share of Global CO2 Emissions
40,000 1965 and 2018 1965
33,891 Asia
35,000
30,000 13%
Rest of the
25,000 world
20,000 16,744 87%
15,000 12,405 2018
11,194
10,000 7,701
5,000 1,426 Rest of
Asia
- the
49%
world
Asia OECD World 51%
1965 2018

CO2 = carbon dioxide, OECD = Organisation for Economic Co-operation and Development
Sources: BP. 2019. BP Statistical Review of World Energy 2019. [Link]
[Link]; and World Bank. World Development Indicators. [Link] (accessed 29 October 2019).
11
 3. Energy—Asia’s primary and final energy consumption (cont.)
• The industry and residential sectors are the two largest final energy consumers in developing
Asia, followed by transport.
➢ Industry has the highest share of final consumption in the People’s Republic of China (PRC). In the
Organisation for Economic Co-operation and Development, transport has the top share.
Final Energy Consumption by Sector, 2017
Agriculture,5% Non-energy use
10% Non-energy use, 8% Non-energy use, 10%
Agriculture Agriculture
6% 3% Industry
Commercial and Commercial and Public
Industry 22%
Public 4% 4% Commercial and Public
32%
13%
Residential
Transport Industry
Residential 17% Transport
21% 49%
28% Residential 34%
Transport 18%
16%

Developing Asia excluding the PRC PRC OECD

OECD = Organisation for Economic Co-operation and Development, PRC = People’s Republic of China.
Sources: IEA. Statistics. [Link] and World Bank. World Development Indicators. [Link] (accessed 29 October 2019). 12
 3. Energy—Electricity generation and use
• From 1971 to 2018, electricity generation increased 16.5 times in Asia and the Pacific
compared to a fivefold increase globally. Electricity generation mix in Asia remained
dominated by coal, followed by hydropower and gas.
Total Electricity Generation, 1971 and 2018 Electricity Generation by Source, 2018
30,000 (TWh) Others
Solar
4%
25,000 3%
Wind
20,000 Nuclear 4%
15,000 4%
10,000
Natural gas
5,000 12%
- Coal
Asia OECD World 59%
1971 2018 Hydropower
14%

TWh = terawatt, OECD = Organisation for Economic Co-operation and Development

Note: “Others” include oil; biomass, waste, etc; and geothermal.
Sources: Enerdata. 2019. Global Energy Statistical Yearbook. [Link] and World Bank. World
Development Indicators. [Link] (accessed 29 October 2019). 13
 3. Energy—Electricity generation and use (cont.)
• Over the past 5 decades, Asia and the Pacific made steady progress in providing
residential electricity.
1970s: In developing Asia, electrification 2000s: Electrification rate was 2017: Electrification rate
rate was less than 15% in rural areas. at 67% (both rural and urban). was at 91% overall.

❖ Electricity development in the region can be categorized into three distinct periods of
evolution.

1950s–1980s: 1990s–2000s: Promoting energy 2010s to present:

From hydropower to the diversification with large Mainstreaming renewables
increasing dominance of coal in hydropower and natural gas and energy efficiency
electricity generation 14
 3. Energy—1950s to the 1980s
• During the 1950s through the 1980s, there were large investments starting with
hydropower to an increasing dominance of fossil fuels such as oil and coal.

Hydropower Oil Coal

• Hydropower was among the • The share of oil for • The region gravitated from oil
first utility-scale power plants electricity generation toward coal because the region
in Asian economies, including peaked at 49% in 1973 as has many coal resources—42%
in Japan (1891); India (1897); two rounds of oil crises in of the world total.
Taipei,China (1905); and Nepal the 1970s created an
(1911). upward spiral of oil prices. Electricity generation and
Subsequently, oil use for transmission were generally
• Hydropower maintained a electricity generation operated by state-owned
relatively stable share in Asia’s declined as coal became enterprises (SOEs)
primary energy mix, with the more competitive and
proportion declining slightly readily available.
only as other fuel sources
grew faster.
15
 3. Energy—1990s to 2000s
• From 1990s to 2000s, Asian countries started promoting diversification for electricity
generation, including the use of large hydropower and natural gas.
Large hydropower Natural gas Coal
• Technological progress made • As power systems became • By 1995, the region’s share in
large-scale dams more bigger in many countries in the global primary energy
feasible. region, natural gas-fired power consumption reached about
plants were needed to meet 27%. Coal consumption
• Between 1995 and 2005,
both baseload and peaking accounted for 44% of total
hydropower generation in the
demand. energy consumption in the
region increased by 50%.
• Natural gas has also been used region, much higher than the
Solar and wind increasingly in industries and 26% world average.
households as cleaner fuels.
• Solar and wind energy began to From 1995 to 2005, natural gas
grow rapidly, though from a consumption in the region
very low base. increased by 92%
16
 3. Energy—1990s to 2000s (cont.)
• Across developing Asian countries, electricity generation capacity grew substantially,
while transmission and distribution became more efficient. The sector also attracted
private sector investment.

❖ Technological ❖ Many countries (e.g. ❖ Private sector investment

advances led to the PRC) followed in power occurred in many Asian
lower Japan’s example of developing countries, with
transmission improving energy the PRC, the Philippines, and
and distribution efficiency through Indonesia included in the top five
losses. regulation and countries attracting private
financial incentives. investment.

17
 3. Energy—2010s to present
• From 2010s to present, there have been efforts in mainstreaming renewables and energy
efficiency.

Coal Solar and wind Nuclear

• Coal remains a significant • Solar and wind electricity • Japan’s Fukushima accident led to
component of the region’s generation continues to see the immediate shutdown of all
primary energy mix. massive cost reductions, operating nuclear power plants in
However, the growth of coal accelerating solar and wind the country (though several have
consumption in the region power installation in the now restarted). It led to a drive for
slowed significantly, to 1.9% region. In 2018, the region greater energy efficiency, and
annually, on average, from had 56% of global solar slowed construction of new
2010 to 2018 after decades installed capacity, 42% nuclear plants in the PRC, India,
of sustained high growth. hydropower, and 40% wind. and other Asian economies.

18
 3. Energy—2010s to present (cont.)
• Various drivers led to Asia’s move toward a low-carbon paradigm. Asia has also made
further progress in rural electrification and in promoting private investment and
competition in the power sector.
Rural electrification access rates, Central Asia and South Asia
Drivers of Asia’s move toward a low-carbon
paradigm: 2010 2017
Without
• Adoption of Sustainable Development Goals Without access
access With 9%
• 2015 Paris Agreement access
25% With
• Nationally determined contributions under the 75%
access
United Nations Framework Convention on 91%
Climate Change
• Policy support for renewable energy (e.g. feed in The power sector increasingly turned to markets and
tariffs, Renewable Portfolio Standard) private investment and ownership, helped by the
creation of new regulatory frameworks.
• Initiatives towards energy efficiency (e.g. India’s
“Perform, Achieve, Trade” scheme) Competition was introduced at each segment of the
• The Asian Development Bank’s support for electricity market, and subsidies were gradually removed
renewable energy (solar, wind, hydropower, and to ensure efficiency and sustainability.
geothermal) 19
3. Energy—Future trends: Technology innovations for sustainability
• Achieving universal energy access and expanding renewable energy remain the region’s
energy priorities. Asia’s goal is to make energy available, affordable, and clean, all at the
same time.
In Asia and the Pacific in 2017, 350 million people still ❖ The trilemma can only be resolved by deploying
lacked access to electricity, more than half of which are new, advanced technologies such as renewable
from India. mini-grids with battery storage, smart grids to
integrate more renewable energy, and ocean
Share of People Lacking Access to Electricity
energy.
Rest of Asia
24% ❖ To reach the last miles of rural electrification, off-
Indonesia India grid solutions using solar, wind, and small
4% 48% hydropower units may be the answer.
Bangladesh
9% ❖ The energy sector can also benefit from artificial
Pakistan intelligence (AI) and digital technologies, which
15%
transform cities into smart cities.
Sources: Asian Development Bank. 2017. Meeting Asia’s Infrastructure Needs. Manila; and World Bank. 2019. Rural Access Index.
[Link] 20
 4. Transport
• The transport sector has always played a dominant role in supporting economic growth
in Asia.

Aviation and 2
1 shipping enhance
regional
connectivity, with
airport and port
It aids development development 3
and provides access to supporting
employment, education, international Urban transport
and social services trade supported rapidly
urbanizing populations
across the region
21
 4. Transport (cont.)
• Since 1950, there has been a marked shift from rail- to road-based transportation across
Asia.
Rail Kilometer per Million People Road Kilometer per Million People

Japan Japan
Thailand Malaysia
Malaysia India
Republic of Korea People’s Republic
People's Republic…
of China
India Republic of Korea
People’s Republic
People's Republic of… Indonesia
of China
Indonesia Singapore

1965 2014
1965 2014
Sources: Asian Development Bank (ADB). 2007. ADB’s Infrastructure Operations: Responding to Client Needs. Manila; International Road Federation. 2016. World Road
Statistics. Alexandria, VA; Government of India, Ministry of Road Transport and Highways. 2014. Basic Road Statistics of India. [Link] .in/basic-road-
statistics-india; and World Bank. 2014. World Development Indicators. [Link] (accessed 29 October 2019). 22
 4. Transport—1950s–1970s: Emergence from World War II
• Asia and the Pacific went through several fundamental changes from 1950 into the 1970s.
❖ Independence and the redrawing of national boundaries brought changes, as some rail networks
and operating services were split between countries.
❖ In much of developing Asia, the 1950s to 1970s saw early road network development, often
supported through international assistance
❖ Asia’s car manufacturing began reaching industrial scale in the late 1960s.
❖ During the 1950s–1970s, a fledgling trucking industry started taking advantage of the emergence of
new highways and their wider coverage.
❖ Governments were also focused on expanding roads, which made cars and trucks the dominant
mode of transport.
❖ During the 1950s and 1960s, many railroad networks suffered from political neglect, leading to a
deterioration of service and operations.
❖ In the 1970s, railways fell into a period of significant underinvestment, leading to a vicious spiral of
decline.

23
 4. Transport—1980s–1990s: The road boom years
• During the 1980s–1990s, roads solidified their place as the dominant mode of transport
across Asia.
❖ As economies grew rapidly, the demand for travel and shipment
of goods increased.
❖ Economies such as Malaysia; the Republic of Korea; and
Taipei,China began embracing Public-Private Partnerships to
expand their road networks.
❖ Japan’s high-speed railways started to change the perception of
railways in many developed countries. But it also saw a decline in
demand and level of services on their traditional railways.
❖ The rest of Asia continued to allow rail networks and services to
decline during the period.

24
 4. Transport—2000s: Wide-scale congestion appears
• From the 2000s onwards, road congestion becomes a critical issue in many
developing Asian countries. Vehicle Registration, Selected Asian Economies
1,000
❖ Large-scale congestion in major road
networks started in the 2000s, as 100

Vehciles in milion
(in log scale)
these expanded networks were unable 10
to keep pace with the increase in
vehicle ownership and use. 1

❖ Vehicle pollution has also become a 0

1995

1997

1999

2001

2003

2005

2007

2009

2011

2013

2015
serious problem in many areas.
Bangladesh India
❖ During this period, a shift began Indonesia Japan
Malaysia People's Republic of China
toward a new age of railways in some Philippines Thailand
developing economies.
Source: World Health Organization.2018. Global Status Report on Road Safety. Paris
25
 4. Transport—2010s: Pursuing a more balanced approach
• The 2010s saw a much more balanced approach to transportation system investment and
operations. High-Speed Rail Activity in Key Regions , 2000-2016
(billion passenger-kilometer)
❖ During the 2010s, road investments no
longer dominated, while investment in
railways continued to grow.
❖ New railway opportunities also emerged
during this period. Many Asian countries,
such as India and Bangladesh, started to
heavily invest in railways.
❖ Strong growth throughout Asia, along
with the growing problems of traffic
congestion, air pollution, and the impact
on climate change, brought the need for
more efficient freight and public
transport services. PRC = People’s Republic of China.
Source: International Energy Agency. 2019. The Future of Rail. Paris. 26
 4. Transport—The development of urban transport
• Since the turn of the 21st century, there has been a significant increase in investments in
public transport such as metros and buses.

❖ Rapidly urbanizing populations began to place immense pressure on

cities to address increasing travel demand. Some cities attempted
to build their way out of congestion with elevated expressways.
❖ Asia’s megacities now lead the world in subway networks—such as
in Beijing, Shanghai, Seoul, and Tokyo.
❖ The Asian Development Bank has been supporting urban public
transport including subways; bus rapid transit systems, and
integrated multimodal transport (in Mongolia, Nepal, and Sri
Lanka).

27
 4. Transport—Future trends
• Transport sector in Asia will continue to address issues of safety and
sustainability and need for technology innovations.
➢ Congestion remains, or is even increasing, in many Asian urban areas.
➢ Worsening road safety has also attracted more attention. Asia accounts
for 53% of worldwide fatalities from road crashes.
➢ Transport infrastructure and operations will continue to require
investment in both new and existing assets, with new technologies
playing an increasingly important role.
➢ Over the next 20–40 years, the sector could see wholesale
decarbonization. Electric vehicles (e-vehicles) will most likely replace
combustion engines over time, which is already starting to happen and
most of the change has been in Asia.
28
 5. Urban water supply
• The development of urban water systems in Asia and the Pacific has been an interesting
journey …

From the basic aqueduct systems of the Indus Valley Civilization in South
Asia around 3000 BC ….

… to the development of engineered gravity and mechanized bulk water supply

systems.

…. and to the emergence of today’s digital technology water management

systems.
29
 5. Urban water supply—Pre-1960s
• Before 1960, colonial water supply systems were the main sources of urban water supply
in many countries.
❖ Before the development of engineered water systems, people got
their water supply directly from rivers, lakes, springs,
underground sources, and rainwater, among others.
❖ In the PRC, the grand canal, built in the 6th century, was used as drinking
water.

❖ Colonial water systems were built in Asian cities in the late 1800s
to early 1900s.
❖ Urban water systems in the region before 1960 were
infrastructure intensive, featuring engineered reservoirs, piped
transmission, and distribution networks.
30
 5. Urban water supply—1960s to 1980
• From 1960 to 1980, Asia transitioned to decentralized and local water utility
management—to meet growing urban demand.
❖ After independence, many Urban Population in Asia, 1960 to 1980 million
7
countries transferred urban water (100 million people)
6
supply management to national or
5
provincial governments, or to local
4
water utilities—to meet demand
3
from growing urban population.
2
❖ Some cities that overcame these 1
challenges (e.g. Singapore) were 0

1967

1974
1960
1961
1962
1963
1964
1965
1966

1968
1969
1970
1971
1972
1973

1975
1976
1977
1978
1979
1980
supported by central governments
with better policy, management, Source: World Bank. World Development Indicators. [Link] (accessed
and technological solutions 20 April 2020)

31
 5. Urban water supply—1980s to present
• In the 1990s, urban water services were increasingly privatized. But more recently, there
has been a shift from privatization to corporatization of publicly-owned water utilities.

❖ Involving the private sector through PPPs to reform urban water services in developing
countries gained ground during the 1990s—they would help solve inefficiencies in operating
and managing government-run water utility systems.
❖ More recently, there has been a shift in thinking from privatization to corporatization of
publicly-owned water utilities, due to: (i) the idea that water delivery should be a public
service; (ii) private companies shying away from the financial risks inherent in investing in
water utilities; and (iii) the goal of reforming the public water utilities.

❑ Dhaka in Bangladesh and Phnom Penh in Cambodia have turned low-performing

institutions and inefficient systems into high-performing and profitable water
utilities through corporatization.

32
 5. Urban water supply—Future trends
• Water supply continues to be a challenge in many cities. Future trends require integrated
solutions for a water-secure future in the region.
❖ Remaining challenges: High water loss in distribution networks, low revenues
and financial sustainability, overstretched capacity
❖ Possible solutions: Using advanced technology such as geographic information
systems; smart networks; and metering technologies.
❖ Governments, the private sector, and development partners all have a role in
financing water infrastructure. And the sector must be integrated with bulk
water supply, wastewater management, flood risk management, solid waste
management, source protection, and integrated water resources and drought
management.
❖ Governments are also expected to play a critical role in creating an enabling
ecosystem of appropriate policies, regulations, and taxes—including
environmental charges. 33
 6. Telecommunications and information and communications
technologies—Telephone infrastructure
• Asia adopted technology both as an input and output of development. From the 1960s
onward, wider telecommunications use and later, information and communications
technology (ICT), developed rapidly.
Fixed Telephone Subscriptions per 100 Inhabitants
❖ Japan had its first telephone 80
service in 1890 and, by the mid- 70
1960s, had 15 telephones per 100 60
inhabitants. Meanwhile, India 50
40
peaked at only 4 telephones per
30
100 inhabitants in 2005.
20
❖ Asian economies rapidly 10
developed fixed telephone -

1980

1982

1984

1986

1988

1990

1992

1994

1996

1998

2000

2002

2004

2006

2008

2010

2012

2014

2016
infrastructure in the 1960s and
continued to expand until the mid- Australia India Japan
2000s, when mobile phones Kazakhstan People's Republic of China United States
became widely available. World
Source: World Bank. World Development Indicators. [Link]
(accessed 29 October 2019). 34
 6. Telecommunications and information and communications
technologies—Telephone infrastructure (cont.)
• The availability of low-cost mobile phones has spread their usage phenomenally, today
reaching a majority of the population worldwide.
Mobile Telephone Subscriptions Per 100 Inhabitants
180
160
140
➢ Widespread smartphone use
120
has opened new opportunities
100
for development purposes,
80
60
including in health, education,
40
employment, social services,
20 and finance.
0

Australia India Japan

Kazakhstan People's Republic of China United States
World
Source: World Bank. World Development Indicators. [Link] 29 October 2019).
35
 6. Telecommunications and information and communication
technologies—Computing and internet
• In Asia and around the world, there has been a rapid expansion of internet usage and the
digital economy. Internet Users
(% of population)
o The digital economy covers e- 100
communication, e-commerce,
ride-sharing, digital payments, 80
and online education. It also 60
extends to digital employment
40
like the growing call center
industry in India and the 20
Philippines. -

o Examples of digital economy

leaders: WeChat, Alibaba, Australia India Japan Kazakhstan People's Republic of China United States World
Grab and Gojek. Source: World Bank. World Development Indicators. [Link] 29 October 2019).

1973: Japan and 1980s: Japanese 1990s: The Republic 1990s: 2000s: Google Mid-2000s: Cloud 2018: More than
Australia start to firms became of Korea followed Desktop and Amazon computing 50% of the
become connected leaders in Japan in being leaders computers became emerged as a new population had
to the ARPANET semiconductor in the semiconductor became dominant form of internet access.
(Advanced Research Projects
Agency Network ).
industry. industry. popular. platforms in Asia. infrastructure. 36
 6. Telecommunications and information and communication
technologies—Future trends
• Going forward, there are several digital infrastructure trends that will continue to
transform Asia’s economy. These include the Internet of Things (IoT), artificial
intelligence (AI), and cybersecurity and privacy protection.

IoT Infrastructure can support AI is promising for new services such As more and more
development. For example, it as optimizing crop inputs for human activities are
can improve agriculture by farmers, fine-tuning medical digitized,
remotely monitoring soil diagnosis, translating documents cybersecurity and
conditions and air quality. using smartphones, and tailoring privacy protection will
education for students through grow in importance.
adaptive learning.
37
 7. Looking ahead
• Developing Asian countries need to address gaps in infrastructure.
❖ First, more investment is needed in infrastructure. These investments should
have strong economic rationale, efficient life-cycle costs, and positive social and
environmental benefits, and incorporate advanced technologies.
❖ Second, continuing capacity development and institutional reform are needed
to boost efficiency and deliver high-quality services. These include for example,
tariffs for utilities, and subsidies for poor households.
❖ Third, the private sector can mobilize knowledge, operational efficiency, and
additional financing to help develop infrastructure projects. Government has an
important role to play in creating the right policy environment and setting
priorities to encourage private sector participation.
❖ Finally, regional cooperation to improve connectivity across Asia and the Pacific
is essential to unleash the region’s potential, and to promote growth and
stability.
38
 8. Questions and further readings
• Questions
01 Why does infrastructure matter for development? What are the current
gaps in infrastructure in Asia and the Pacific?
.

02 Explain the three phases of evolution of electricity development in the

region. What were the developments for each energy primary source?

What are the remaining challenges in urban water supply provision in

03 Asia? What are the most viable solutions for these?

04 How can Asian countries solve traffic congestion and inadequate road
safety in their cities?

05 Give examples of digital trends in the region and how they are foreseen to
impact Asian economies.

06 What have been the roles of the private sector and government in the development of
water, energy, transport, and ICT infrastructures?

39
 8. Questions and further readings (cont.)
• Further readings
❑ Abiad, A., et al. 2020. The Past and Future Role of Infrastructure in Asia’s Development. In Susantono, B., D. Park, and S. Tian, eds. Infrastructure
Financing in Asia. Singapore: World Scientific.
❑ ADB. 2016. Dhaka Water Supply Network Improvement Project. Manila.

❑ ADB. 2017. Meeting Asia’s Infrastructure Needs. Manila.

❑ ADB. 2019. How PPP Advisory Services Can Narrow Asia’s Infrastructure Gap. Manila.

❑ Bays, L. 1994. Short Overview of Water Supply Situations in the World, Water Philippines ’94. Technical Papers, 9th IWSA-ASPAC Regional
Conference and Exhibition. Manila: Philippine Water Works Association.

❑ International Energy Agency. 2018. World Energy Outlook 2018. Paris.

❑ Japan International Cooperation Agency. 2018. Water Supply: The Foundation for Previous Lives and Livelihoods. Safe Water for All. Tokyo

❑ Tortajada, C., Y. Joshi, and A. K. Biswas. 2013. The Singapore Water Story: Sustainable Development in an Urban City State. London: Routledge

❑ Seoul Metropolitan Government. 2017. Seoul Tap Water Arisu. Seoul. [Link] files/seoul-tap-water-arisu-englishpdf?ckattempt=1.

❑ Smil, V. 2017. Energy and Civilization: A History. Cambridge, MA: The MIT Press.

❑ United Nations Framework Convention on Climate Change. 2015. Adoption of the Paris Agreement. Paris.

❑ World Bank. 2018. Contribution of Institutional Investors: Private Investment in Infrastructure 2011–H1 2017. Washington, DC.

❑ World Health Organization. 2018. Global Status Report on Road Safety. Paris.
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