SINGAPORE: The government will spend S$25 million over five years on research and development into new energy sources for Singapore. It has set up the Energy Research and Development Fund to provide money to parties looking to develop new energy strategies.

This was revealed on Monday at the launch of Singapore's annual International Energy Week.

Energy demand is expected to go up in coming years. This may raise energy prices, and global warming is also affecting the way energy is harnessed. So the government is launching this fund to help Singapore fulfil its expanding energy needs.

Trade and Industry Minister, Lim Hng Kiang, said: "The S$25 million fund spent over the next five years will provide financial support to any interested parties aimed at developing capabilities and knowledge, including the creation of suitable mechanisms and infrastructure to enable the implementation of new energy solutions."

The fund could be used to develop technologies such as electric vehicles. The International Advisory Panel on Energy said that Singapore is an ideal test bed to try out such technologies which will revolutionise the way we travel.

The International Advisory Panel on Energy has been studying Singapore's energy solutions. It has even recommended that Singapore considers the nuclear option.

It added that Singapore could also find more efficient ways of generating power through technological developments.

The panel of experts said Singapore would not only benefit from the use of a more productive energy grid, but could also have the ability to sell the technology in the region and internationally. - CNA/vm