[KUALA LUMPUR] Malaysia’s Tenaga Nasional (TNB), a government-owned integrated power utility company, and Singapore’s licensed electricity importer, Sembcorp Power, have signed an agreement to supply renewable energy to Singapore.
The first phase involves 50 megawatts (MW) of renewable-energy exports to Singapore, and will commence this month, Malaysia’s Ministry of Energy Transition and Water Transformation said in a statement on Monday (Dec 9).
Under the supply agreement, TNB will deliver the electricity to Singapore via Sembcorp Power, using the existing infrastructure between the two countries.
Overall, the renewable energy export programme to Singapore has a total capacity of 300 MW.
The inaugural renewable-energy supply from Malaysia to Singapore is the result of a bidding process in June through Energy Exchange Malaysia (Enegem).
Enegem facilitates the auctioning process for renewable-energy sales. It helps to make cross-border transactions more efficient, and encourages participation from various renewable-energy suppliers.
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In a separate statement, TNB and Sembcorp Power said the initiative aligns with the Asean Power Grid initiative and Malaysia’s energy-transition goals, facilitating renewable-energy trade with regional countries through Enegem.
Megat Jalaluddin Megat Hassan, president and chief executive officer of Tenaga Nasional, said this programme positions Malaysia as a key player in green-electricity trading and promotes energy security, efficiency and sustainability across the region.
The country has been actively pursuing the development and export of renewable energy in recent years. It could benefit from the favourable pricing and foreign-exchange gains, while enhancing its renewable-energy sector and supporting regional-energy needs.
Singapore aims to import up to 4 gigawatts of low-carbon electricity by 2035, representing about 30 per cent of its total electricity supply.
