- Singapore, Malaysia, and Vietnam signed a deal to trade renewable energy across borders under the ASEAN Power Grid initiative.
- The project involves building a new undersea cable and boosting renewable energy generation and storage.
- The partnership supports each nation’s low-carbon goals, with Singapore targeting 6 GW of clean energy imports by 2035.
Energy firms from Singapore, Malaysia, and Vietnam have signed a new deal for the cross-border exchange of renewable energy, supporting the implementation of the ASEAN Power Grid.
As per an announcement, MY Energy Consortium, an unincorporated group formed by Tenaga Nasional Berhad (TNB) and Petroliam Nasional Berhad (PETRONAS), will work together with a consortium that includes PetroVietnam Technical Services Corporation (PTSC), a part of Vietnam National Industry - Energy Group (Petrovietnam) in Vietnam, and Sembcorp Utilities Pte Ltd, a wholly-owned arm of Singapore's Sembcorp Industries (Sembcorp).
According to the joint development agreement, the parties will send renewable electricity from Vietnam to Malaysia and Singapore. This will be executed via a new undersea cable, backed by the Peninsular Malaysia National Grid, along with possible extra solid renewable energy production and storage.
“Malaysia’s participation in this initiative reflects our strong commitment to the ASEAN Power Grid vision, which aims to strengthen regional energy security through the creation of a power transit hub,” said members of MY Energy Consortium Datuk Ir. Megat Jalaluddin Megat Hassan, President/CEO of TNB and Tan Sri Tengku Muhammad Taufik, President and Group CEO of PETRONAS.
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Vietnam, on the other hand, has designated offshore wind as a national priority. By participating in the partnership, the nation “seeks to catalyse new economic opportunities, stimulate sustainable growth, and generate quality employment, whilst reinforcing ASEAN’s shared ambition for a resilient, low-carbon energy future.”
Singapore aims to import approximately 6 gigawatts of low-carbon electricity by the year 2035.
“This agreement highlights Singapore’s strategic role as a demand centre and a key enabler of cross-border power imports to support its decarburization goals,” said Wong Kim Yin, Group CEO of Sembcorp Industries.