Singapore's Energy Strategy: Expanding Sources for Security

Singapore is setting out a robust plan to secure its energy future, in light of growing global supply challenges and resource nationalism. Announced on October 26 during the Singapore International Energy Week, a five-year initiative aims to expand the country's power infrastructure starting in 2026, including the construction of new power plants and enhancements to the underground transmission system.

Fossil Fuel Utilization

Fossil fuels will remain a major component of Singapore's energy strategy:

• Currently, imported natural gas accounts for about 95% of Singapore’s electricity generation.
• Singapore's existing power plants have a combined capacity of 12 gigawatts (GW).
• By 2031, five additional natural gas power plants will come online, increasing the total generation capacity by 26%.
• In case of gas supply disruptions, these plants are equipped to switch to diesel fuel, providing a backup energy source.
• Additionally, Singapore has signed an agreement with Saudi Arabia to store crude oil in the Jurong Rock Caverns, slated to begin in late 2027. This crude can be refined into diesel for power generation.

Expanding Solar Energy and Storage Solutions

Solar energy is increasingly becoming a viable renewable energy source:

• Currently, Singapore generates approximately 2.3 gigawatt-peak (GWp) of solar energy, which represents 4.2% of its energy mix in the first half of 2026.
• The goal is to ramp this up to 3 GWp by 2030, satisfying about 5% of projected energy demand. Furthermore, a new target aims for 4 GWp of solar energy by 2035.
• To support solar energy generation, energy storage systems will be increased from today’s capacity of 350 megawatt-hours to over 1 gigawatt-hour by 2030, allowing excess energy to be stored for later use.

Electricity Imports and Renewable Projects

Singapore is also focusing on importing electricity from various sources:

• There are 14 electricity import projects currently underway, expected to yield more than 10 GW of capacity, involving solar, wind, and hydropower from regional neighbors such as Malaysia, Indonesia, and Australia.
• Some of these projects are anticipated to commence as early as 2028.
• The recent approval for Sembcorp Utilities to import up to 1.3 GW of renewable electricity from Malaysia highlights this commitment to renewable sources, tapping into both solar and wind power.

Exploring Emerging Energy Sources

In addition to fossil fuels and renewables, Singapore is investigating other energy options:

• Nuclear Energy: Singapore is considering advanced nuclear technologies like small modular reactors. An assessment by the International Atomic Energy Agency in 2027 will gauge the nation’s preparedness for nuclear deployment.
• Geothermal Energy: A national survey has suggested that underground heat sources could potentially generate more than 60 times the city-state's annual electricity consumption. Feasibility studies for deep geothermal systems will commence by the end of 2026.
• Hydrogen: Recognized as a green fuel, hydrogen's potential is being examined. Future power plants are being designed to accommodate a mixture of natural gas and hydrogen. A $75 million initiative aims to enhance research in extracting hydrogen from various chemical sources.
• Biomethane: This organic fuel, derived from agricultural waste, is set to be integrated into the energy mix. By 2028, efforts to import enough biomethane to generate 300 MW of electricity are anticipated, enough to power around 600,000 households.

Through these multidimensional strategies, Singapore is steadfast in its commitment to enhancing energy security while integrating innovative technologies into its power supply framework.