Episode 2: Financing the Energy Systems of Tomorrow

00:37 | Balancing security and decarbonisation

Asia-Pacific markets are progressing at different speeds on decarbonisation. Governments need to balance energy security, affordability and decarbonisation. Expanding domestic renewables can also help countries manage fuel supply shocks.

01:51 | Turning transition plans into action

Hard-to-abate sectors need practical and measurable pathways to decarbonise. Banks can support companies with credible transition plans and help lower transition costs through cross-industry collaboration. They can also bring together different sources of capital, including blended finance, to help put these plans into action. Since introducing a transition finance playbook in 2023, SMBC has worked with more than 130 clients and closed 46 transactions. It is a track record that shows what this kind of support looks like in practice.

05:04 | Sharing risk to scale new technologies

Banks aren't always best placed to take on unproven technology risk alone. One way to manage this is by structuring deals so risk sits with whoever can handle it best. That could mean experienced sponsors, existing infrastructure, or government-backed demand. This helps bring new technologies closer to commercial scale. For early-stage projects like hydrogen and ammonia, government support and blended finance play a bigger role.

09:23 | Building connected and resilient systems

Energy resilience increasingly depends on connectivity and flexibility, not just power generation. Electricity demand is growing, driven in part by digital infrastructure and data centres. Grids will need to integrate more renewables without compromising on security or affordability.

09:56 | Making cross-border infrastructure financeable

Cross-border connections can diversify energy sources and strengthen energy security. Clear regulatory frameworks and coordination between governments can help make these projects financeable. Public-private risk sharing will also be important.

About our guest

Mr Katsufumi Uchida is the Managing Executive Officer and Head of Asia Pacific Division at Sumitomo Mitsui Banking Corporation (SMBC), having previously served as its Co-Head. With the transition to a unified leadership structure, he is responsible for the operations of the bank and entities that comprise SMBC Group across the region and to deliver on SMBC’s commitment to accelerate the expansion of its franchise in Asia. Based in Singapore, he also takes the role as CEO for SMBC Singapore Branch.

Mr Uchida first joined The Sumitomo Bank in 1990, which was later merged to form SMBC. Over his three decades of experience across the bank’s extensive global network including major markets like Tokyo, Brussels, Hong Kong, Singapore and London, a significant focus of his professional career has centred on specializing in wider structured finance and fostering growth in emerging market markets.

Prior to this appointment, he was most recently the Head of Asia Business Development Division and Deputy Head of Asia Pacific Division, as a Managing Executive Officer of SMFG, where he prioritized efforts to enhancing the bank’s regional network through investments in emerging markets across Asia. He has also served as the Deputy Head of Financial Solutions Division of SMBC, Global Head of Project Finance and Deputy Head of EMEA. His leadership has been integral to bringing SMBC’s project finance, trade finance, ECA finance and emerging market corporate teams to become some of SMBC’s award-winning products.

Mr Uchida graduated from Waseda University with a degree in Political Science and Economics.