- Singapore to import 6GW low-carbon power via ASEAN grid by 2035.
- SGEI, Singa Renewables to build subsea cable from Indonesia.
- 1GW solar power project on Rangsang Island to start by 2029.
The ASEAN Power Grid, under development for years, advanced further with two key announcements made in Singapore on May 30. The initial step involves finalizing an agreement for the installation of a new underwater electricity cable connecting Indonesia and Singapore.
This infrastructure will enable Singapore to import up to six gigawatts (GW) of low-carbon electricity from its neighbors by 2035, which will account for around one-third of the country's energy needs at that time.
Singapore Government has designated the Singapore Energy Interconnections (SGEI), a newly formed government-associated company, to focus on developing cross-border power infrastructure. This infrastructure is essential for allowing countries in the region to exchange electricity produced from renewable sources.
The two announcements were unveiled on May 30 during an event coinciding with the state visit of French President Emmanuel Macron to Singapore.
The agreement to create the new interconnector for electricity imports between Singapore and Indonesia was signed by SGEI and Singa Renewables, a partnership between French energy giant TotalEnergies and the multinational conglomerate Royal Golden Eagle, which operates in industries like energy and palm oil.
The memorandum of understanding was observed by Dr. Tan See Leng, Singapore’s Minister-in-charge of Energy, Science and Technology, along with Eric Lombard, France’s Minister of the Economy, Finance, and Industrial and Digital Sovereignty.
The primary aim of the MOU is for both firms to investigate the planning, development, financing, construction, operation, and maintenance of a subsea interconnector and related assets for low-carbon electricity imports from Indonesia to Singapore, the companies stated.
In reply to questions from The Straits Times, SGEI stated that Singa Renewables will utilize Indonesia’s plentiful solar resources to produce electricity.
The Energy Market Authority (EMA) has issued a conditional license to Singa Renewables for the import of 1GW of low-carbon electricity from Indonesia to Singapore. The initiative on Rangsang Island intends to commence commercial operations starting in 2029.
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A regional grid will enable nations to exchange their renewable energy assets, which are distributed unevenly across the area. This can enhance energy security among nations in an environmentally friendly manner, allowing them to rely on neighboring countries during times of intermittent renewable energy supply.
“With limited renewable energy options in Singapore, electricity imports will be needed to meet our nation’s net-zero emissions goal by 2050. As power generation makes up around 40 per cent of Singapore’s total carbon emissions, electricity imports will play a significant role in decarbonising the power sector,” SGEI chief executive Ong Teng Koon told ST.
Established on April 24, SGEI stated in another announcement that it has been designated by the Singapore Government to focus on cross-border power infrastructure, facilitating electricity imports to aid Singapore's low-carbon future.
This will be achieved by funding, creating, possessing, and managing interconnectors to bring in electricity. Grid infrastructure, comprising both overland and subsea cables, is essential for ensuring that electricity is transmitted from the generation source, like a renewable energy project, to the end users.
However, officials in the region have indicated that increased investments in grid infrastructure are essential to support cross-border electricity trade and to make the shift to renewable energy more cost-effective. SGEI stated it will collaborate with partners in ASEAN and other stakeholders to establish the necessary infrastructure to facilitate cross-border electricity trade while concentrating on constructing, owning, and operating regional power interconnections.
In addition to facilitating cross-border electricity trade, SGEI stated it will collaborate with regional partners to advance renewable energy initiatives, encourage best practices, and enable technical cooperation in the power industry.