Sembcorp Power signs 10-year PPAs with GSK subsidiaries

These will commence on 1 January 2025.

Sembcorp Industries subsidiary Sembcorp Power Corp. has secured long-term power purchase agreements to supply up to 10 megawatts of electricity to all three of GSK’s manufacturing sites in Singapore.

Under the agreement, Sembcorp said in the statement that it will also be supplying up to 87,600 megawatts-hours of renewable energy certificates annually to GSK from the power generator’s solar projects.

This will enable “GSK’s manufacturing operations in Singapore to achieve its 100% purchased renewable electricity target by 2025,” Sembcorp said.

The PPAs have tenures of up to 10 years and will commence January 1, 2025.

Sembcorp does not expect the PPAs to have a material impact on its earnings per share and net tangible assets per share for the financial year ending 31 December 2024.

Sembcorp is a major renewable energy player in Asia with 14.4 gigawatts of global capacity.