Singapore to double energy import capacity under regional energy trading agreement

SINGAPORE will increase its renewable energy import capacity to up to 200 megawatts under improvements to its cross-border multilateral trading agreement.

The doubling of capacity was made possible by the introduction of multi-way power trading, under which additional supply will come from Malaysia, the Singapore Energy Market Authority (EMA) and Keppel said in a joint statement on Friday (September 20).

Keppel was the first entity to be issued an electricity importer’s license by EMA. To support this next phase of the Lao People’s Democratic Republic, Thailand, Malaysia and Singapore Energy Integration Project (LTMS-PIP), EMA also granted Keppel an extension of its electricity importer’s license for a further two years to 2026.

The Cross-Border Energy Trade Agreement was concluded on 23 June 2022 and is the first cooperation between ASEAN member states on multilateral trade in electricity from renewable energy sources.

“We welcome the enhancements to the LTMS-PIP system, which include doubling the electricity trading capacity and additional electricity supply from Malaysia,” said Puah Kok Keong, Director General of EMA.

“LTMS-PIP will be more dynamic with multilateral and multi-directional energy trading. This brings us closer to achieving the ASEAN Power Grid vision,” he added.

Cindy Lim, general manager of Keppel’s infrastructure division, said the company was pleased to be granted a two-year licence extension.

“This expansion highlights the scalability of multilateral electricity trading initiatives.

“As Singapore’s first cross-border electricity importer, Keppel is honoured to play a key role in developing the ASEAN power grid, increasing the connectivity of energy infrastructure and strengthening the resilience of regional networks,” she said.