Singapore sets 'aspirational targets' for energy and chemicals sector, part of move to transform Jurong Island
SINGAPORE: Singapore has set "aspirational targets" for its energy & chemicals (E&C) sector to increase its output of sustainable products by four times from 2019 levels and achieve more than six million tonnes of carbon abatement per year from low-carbon solutions by 2050, said the Singapore Economic Development Board (EDB) in a report released on Tuesday (Nov 23).
The “Sustainable Jurong Island” report details the Government’s plans to transform Jurong Island into a "sustainable energy and chemicals park" that operates sustainably and exports sustainable products globally.
It was developed by EDB with support from JTC, the Agency for Science, Technology and Research (A*STAR), the Energy Market Authority (EMA) and the National Environment Agency (NEA).
Minister for Trade and Industry Gan Kim Yong made the announcement at the groundbreaking of the pyrolysis oil upgrader unit at Shell Energy and Chemicals Park Singapore on Tuesday. The announcement builds on the sustainability ambitions for Jurong Island that were first announced in the Green Economy pillar of the Singapore Green Plan 2030.
To reach these long-term goals, EDB will set out to achieve three key targets for the E&C sector by 2030, namely to increase the output of sustainable products by 1.5 times from 2019 levels; ensure that the refineries and crackers in Singapore are in the top quartile of the world in terms of energy efficiency; and realise at least two million tonnes of carbon capture potential.
The baseline for Singapore's targets is 2019 data, given that 2020 data may not be a representative base due to the impact of COVID-19 on the sector, said EDB in its report.
"Today, Singapore is one of the world’s leading E&C hubs. The sector contributes about 20 per cent of Singapore’s total output and employs 27,000 people. Against the backdrop of the global shift towards energy transition, the plan seeks to keep Jurong Island relevant, as the E&C sector transforms," said EDB in a news release.
"As E&C companies have deep capabilities in areas such as carbon dioxide management and process engineering, they can play a key role in both developing and deploying low-carbon solutions."
The E&C sector accounted for 3 per cent of Singapore's Gross Domestic Product (GDP) in 2020, with Singapore ranked as the eighth-largest exporter of chemicals globally in 2019 by the World Trade Organisation.
"The global energy transition presents an opportunity for companies on Jurong Island to transform and innovate as they navigate towards a low carbon future. We look forward to working with the energy and chemicals industry to develop sustainable solutions for Singapore and beyond.” said EDB chairman Dr Beh Swan Gin.
To support the industry in its efforts to transform Jurong Island and achieve the targets set, the Government is putting in place several infrastructure and support measures, said EDB.
For instance, A*STAR, EDB and JTC are working together to study the potential of a carbon capture and utilisation (CCU) test-bedding facility on Jurong Island. This facility will leverage the latest test bedding technologies, such as modularisation and digitalisation, to accelerate the development and scaling-up of CCU technologies in Singapore.
EDB will also continue to facilitate and support companies to adopt decarbonisation and sustainability solutions in Singapore.
It noted that a number of schemes were recently enhanced to include support for additional forms of emissions reduction activities such as carbon capture, utilisation and storage, in addition to energy efficiency improvements and the reduction of non-CO2 greenhouse gases.