Singapore’s Energy Market Authority (EMA) on Tuesday announced it granted conditional approval to Sembcorp Utilities Pte Ltd (SCU), a wholly-owned subsidiary of Sembcorp Industries Ltd, to import 1.2GW of low-carbon electricity from Vietnam.

According to an SCU proposal, the imported electricity will harness offshore wind power and potentially other forms of generation through its cooperation with Petrovietnam Technical Services Corporation (PTSC). 

The electricity will be transmitted from Vietnam to Singapore via new subsea cables spanning around 1,000 kilometers.

The SCU said that offshore wind farms in Vietnam could start producing electricity after 2033, adding that it will work with the PTSC to complete further steps needed to develop this renewable energy project.

The EMA, a statutory board under the Singapore Ministry of Trade and Industry, said the conditional approval will facilitate the SCU in obtaining necessary regulatory approvals and licenses for the project.

Earlier this year, during the official visit of Vietnamese Prime Minister Pham Minh Chinh to Singapore on February 10, the PTSC and SCU signed a joint development agreement to export offshore renewable energy from Vietnam to Singapore.

As per the agreement, the PTSC and SCU will jointly develop offshore wind farms in Vietnam with a total capacity of 2.3GW, which will be exported to Singapore via subsea cables.

In 2021, Singapore announced its plans to import 4GW of low-carbon electricity by 2035.

To date, the EMA has granted conditional approvals to projects from various sources, including 2GW from Indonesia, 1GW from Cambodia, and 1.2GW from Vietnam.

If these projects are realized, the total imported electricity will account for 30 percent of Singapore’s energy needs in 2035.

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