ELECTRIFYING transport, industries and buildings is emerging as a major focus of the global climate agenda at the 31st United Nations Climate Change Conference (COP31), as governments seek to reduce dependence on fossil fuels while strengthening energy security.
The COP31 presidency of Turkey and Australia is pushing for a global target to increase electricity’s share of final energy consumption from just over 20 percent today to 35 percent by 2035. The proposed target, known as 35-by-35, is intended to accelerate the shift toward electric technologies across major sectors of the economy.
A report released on Nov. 10 by Sustainable Energy for All (SEforALL), in collaboration with the Australian government, examines how emerging markets and developing economies could benefit from faster electrification.
Titled “The Electrification Opportunity,” the report argues that replacing fossil-fuel-powered equipment and systems with electric alternatives could help countries industrialize, create jobs, improve energy access and reduce exposure to volatile international fuel markets.
Transportation is among the most visible areas of change, with electric vehicles offering an alternative to gasoline and diesel-powered cars, buses and commercial fleets. Industrial electrification includes electric heating, motors and other equipment, while buildings can reduce their reliance on fossil fuels through electric appliances, cooling systems and heat pumps.
The transition will require much more than replacing engines and equipment. Countries will need to expand electricity generation, modernize transmission and distribution networks, install charging infrastructure and develop energy storage systems to accommodate growing demand.
Flexible electricity grids
The International Energy Agency (IEA) at the Singapore International Energy Week has identified stronger and more flexible electricity grids as essential to achieving the proposed target. Its analysis, prepared at the request of the COP31 Presidencies, examines the potential for electrification across different sectors and the investments needed to support it.
The push has also gained financial backing. On Nov. 10, the COP31 discussions saw the launch of the Electrify Now Finance Coalition, which aims to mobilize investment in clean electrification, particularly in emerging and developing economies.
The initiative builds on the Electrify Now platform launched in June by governments, the IEA, the International Renewable Energy Agency and industry representatives. The Philippines was among its original participants.
The platform seeks to bring together governments, financial institutions and businesses to address barriers to investment in electricity infrastructure, renewable energy, storage and end-use technologies.
The case for electrification is also tied to energy security. Countries dependent on imported oil, coal and gas remain exposed to international price fluctuations and geopolitical disruptions. Shifting transport and industrial operations to electricity could reduce some of that exposure, particularly where power comes from domestic renewable energy sources.
Electrification alone does not guarantee lower emissions. If additional electricity demand is met by coal- and gas-fired power plants, the environmental benefits could be limited. The expansion of renewable energy must therefore go hand in hand with stronger grids and storage.
In the Philippines
The proposed 35-by-35 ambition of the Philippines raises questions about the country’s readiness to electrify its economy. Transport electrification is gaining ground under the Electric Vehicle Industry Development Act (EVIDA) but charging infrastructure, electricity costs and the availability of reliable power remain concerns.
Industrial electrification also presents opportunities to reduce dependence on imported fuels, particularly in manufacturing and commercial operations. The country’s renewable energy resources could support this transition, provided transmission and distribution infrastructure can accommodate additional generation.
The country has seen growing rooftop solar adoption as households and businesses seek to cut electricity bills and reduce reliance on grid power. Meralco has reported around 20,000 registered installations with a combined capacity of 170 megawatts, while an estimated 370 MW of unregistered systems may already be operating. The expansion is raising concerns about grid management, particularly the need for utilities to monitor excess electricity fed back into the network.
Regulations are also being eased. Under the Energy Regulation Commission’s (ERC) net-metering rules, qualified consumers with rooftop solar systems of up to 100 kilowatts can export excess electricity for bill credits. Amendments in August 2025 allowed unused credits to carry over and required utilities to disclose grid hosting capacity. In August 2026, the DOE further simplified requirements for zero-export and plug-and-play solar systems of up to 1 kilowatt.
