SP Group sees greener future for Singapore in trading power with neighbours

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[NEW YORK/SINGAPORE] Singapore's state-owned power grid operator wants to build more connections to neighbouring countries to tap their greater potential for renewable energy. Read more at The Business Times.

Singapore Minister of Trade & Industry Chan Chun Sing on Tuesday included regional power grids as one of four measures the country will explore to help decarbonize its power sector, which is almost entirely reliant on imported natural gas. Also last week, Malaysia's energy minister, Yeo Bee Yin, said the nation is in discussions with Singapore about cross-border power supplies, and expects to complete 550 megawatts of new grid connection capacity this year and a similar amount next year.

Legislation limits the use of Singapore and Malaysia's existing power connections only to emergencies, Mr Wong said. A bilateral government agreement could immediately allow trading across those lines and start a movement toward wider international connections, he said. Malaysia already has links to Thailand, which is also connected to Laos, so eventually Singapore could invest in hydropower dams in Laos and use renewable energy credits to receive the same amount of electricity from Malaysia, Mr Wong said. Even if the power Singapore receives isn't necessarily generated by renewables, the net effect for the region would be more carbon-free electricity.

In the long run, technologies including nuclear fusion and hydrogen might be able to provide more carbon-free energy for Singapore, Mr Wong said. He sees them as potential options in 15 years or more, but both need more development to make them safer and cost effective.

 

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