Sembcorp Utilities Pte Ltd, a subsidiary of Sembcorp Industries, and Sarawak Energy Berhad (SEB) have received conditional approval from Singapore’s Energy Market Authority (EMA) to import about 1GW of renewable energy from Sarawak. SP PowerInterconnect will serve as the technical partner for the project.
Expected to begin operations around 2035, the project will transmit electricity generated mainly from Sarawak’s hydropower plants to Singapore via more than 700km of subsea cables. The hydropower sources are expected to be certified under the Hydropower Sustainability Standard.
This will be Singapore’s first large-scale, round-the-clock renewable power import project, providing a consistent supply of low-carbon energy. It also supports regional energy cooperation and contributes to the development of the ASEAN Power Grid.
The consortium has signed a preferred supplier agreement with Prysmian, a global company specialising in high-voltage submarine and underground cable systems, to optimise the design and installation of the subsea interconnector. The consortium will continue work required to bring the project into operation.
Ceremonies marking the approval were held in both Singapore and Malaysia. In Singapore, the event was witnessed by Deputy Prime Minister and Minister for Trade and Industry Gan Kim Yong and Sarawak Premier Datuk Patinggi Tan Sri (Dr) Abang Haji Abdul Rahman Zohari Bin Tun Datuk Abang Haji Openg. In Malaysia, the signing took place alongside the 43rd ASEAN Ministers on Energy Meeting in Kuala Lumpur, attended by Malaysia’s Deputy Prime Minister and Minister for Energy Transition and Water Transformation, Datuk Amar Haji Fadillah bin Haji Yusof, and Singapore’s Minister-in-charge of Energy and Science & Technology, Dr Tan See Leng.
Wong Kim Yin, Group Chief Executive Officer of Sembcorp Industries, said: “We are pleased to receive our second Conditional Approval for low-carbon electricity import. Together with an earlier Conditional Approval to bring in 1.2GW of renewable electricity from Vietnam, this brings us closer to achieving 2.2GW of imports, contributing to Singapore’s 6GW target by 2035 and advancing the development of a regional power grid.”
Sembcorp said the approval is not expected to have a material impact on its earnings per share or net tangible assets for the financial year ending December 31, 2025.
