Following a joint agreement between two electricity producers, Malaysia will supply 100 megawatts (MW) of electricity to Singapore on a two-year trial.
The partnership is between YTL PowerSeraya and TNB Genco.
With this, Singapore can power around 144,000 four-room HDB flats in a year.
An official ceremony took place on 30 Jan to mark the agreement.
Chief executive officer of YTL PowerSeraya John Ng said:
“YTL PowerSeraya, together with YTL Power International, is honoured to work with TNB Genco, a wholly-owned subsidiary of TNB, the national electricity utility in Malaysia, to contribute our part in diversifying Singapore’s energy sources and further enhancing the nation’s energy security.”
“We believe that this is the first step in our vision of a strong ASEAN power grid, where electricity imports may eventually form a key part of Singapore’s energy mix,” he added.
Meanwhile, managing director of TNB Genco Nor Azman Bin Mufti welcomed the agreement as a positive step for strengthening cross-border energy supply.
He hopes this will become the catalyst to capture future projects in the Singapore market through cross-border electricity sales.
According to Channel NewsAsia (CNA), the agreement will make up around 1.5% of Singapore’s peak electricity demand.
In Oct 2021, YTL PowerSeraya was awarded a two-year trial to import electricity from Malaysia.
It is the only electricity producer with experience trading across borders.
Following an initially-announced commencement in early 2022, the trial will finally get underway now.
The electricity will be bought from TNB Pasir Gudang Energy Sdn Bhd, a special vehicle company owned by TNB Genco.
It will then be exported to Singapore.
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Featured image adapted from Albert Vincent Wu on Unsplash.
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