Sembcorp unit secures conditional approval to import electricity from Vietnam

It can import up to 1.2 gigawatts of power from Vietnam to Singapore.

The Energy Market Authority (EMA) issued conditional approval to Sembcorp Industries subsidiary, Sembcorp Utilities (SCU), to import 1.2 gigawatts (GW) of low-carbon electricity from Vietnam.

In a statement, the EMA said the imported electricity from Vietnam will be generated through offshore wind power and potentially other forms of generation developed with the Petrovietnam Technical Services Corporation.

“The Conditional Approval recognises that the project is preliminarily assessed by EMA to be technically and commercially viable. It facilitates SCU in obtaining necessary regulatory approvals and licences for the project,” it said.

The power will be supplied to Singapore through new subsea cables of around 1,000 kilometres.

Tan See Leng, Minister for Manpower and Second Minister for Trade and Industry, said the development will enable the country to meet its target to import four gigawatts of low-carbon electricity.

“When all of these projects are implemented, these projects will support the development of our broader ASEAN power grid,” he said at the Asia Clean Energy Summit as part of the Singapore International Energy Week. 

“Given the good progress of this initiative so far, we are studying the possibility of taking in even more electricity, taking into account energy security and cost considerations, he added.

His development follows the signing of a memorandum of understanding on energy cooperation between Vietnam and Singapore in October 2022.

The EMA has so far granted conditional approvals, 2 GW will be imported from Indonesia, 1.2 GW from Vietnam, and 1 GW from Cambodia, comprising solar, hydropower, and wind energy.