Singapore plans up to S$5.3 billion in grid investment

Singapore expects to invest up to S$5.3 billion in its electricity grid between 2025 and 2029 under an energy infrastructure plan unveiled on 26 October. The Energy Market Authority (EMA) said the projected spending would be 11 times the amount invested during the preceding five years.

EMA forecasts that peak electricity demand could reach between 9.9 and 13 GW by 2031, compared with 8.6 GW currently. It attributed the increase mainly to semiconductor manufacturing, data centres and greater adoption of electric transport.

Grid works include seven additional substations by 2031 and an 18 per cent expansion of the transmission cable network, taking it from 7,700 km to 9,100 km by 2030. Singapore is also assessing whether it can more than treble its cable tunnel network, which currently measures about 50 km.

Energy storage is targeted to reach over 1 gigawatt-hour (GWh) by 2030, trebling capacity from around 350 megawatt-hour (MWh). EMA has opened an industry consultation seeking technologies, commercial models and projects suitable for deployment at scale.

Five natural gas power plants are scheduled to begin operating over the next five years. Speaking at Singapore International Energy Week, Minister for Energy, Trade and Industry (Energy and Industry) Tan See Leng said the government was prepared to facilitate further plants if needed and intervene where necessary to ensure adequate capacity.

Tan also announced a solar deployment target of 4 gigawatt-peak (GWp) by 2035. Current capacity stands at 2.3 GWp, and Singapore remains on course for its existing goal of 3 GWp by 2030.

Separately, EMA and the Advanced Energy and Decarbonisation Office have allocated S$75 million to develop low-carbon solutions involving hydrogen, solar and biomass for the power sector. The funding forms part of a broader S$800 million research and innovation programme.