SINGAPORE: Singapore will import electricity from Peninsular Malaysia under a two-year trial, said the Energy Market Authority (EMA) on Monday (Oct 26).
The trial aims to "assess and refine the technical and regulatory frameworks" for importing electricity into Singapore, said the authority in a press release.
This would help to facilitate larger-scale imports from the region in future, added EMA.
"To meet our climate change commitments, there is a need to change the way Singapore produces and uses energy," said EMA.
"Tapping on regional power grids for cleaner energy resources is one strategy to further diversify Singapore’s energy supply," it added.
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In a keynote speech delivered at the opening of the Singapore International Energy Week, Minister for Trade and Industry Chan Chun Sing said that the move is part of Singapore's plan to strengthen the "regional grid architecture".
"We will kick this off by importing 100 megawatts (MW) of electricity imports for a trial period of two years, to see how the market works ... This will allow the region to share the clean energy sources that different countries may have, and we’ll start this with Malaysia," he said.
"Once the concept takes off, we’ll be able to extend this to other regional players."
EMA plans to issue a Request for Proposal by March next year for 100 MW of electricity imports. This will make up about 1.5 per cent of Singapore’s peak electricity demand.
Under this Request for Proposal, electricity imports could begin as early as end-2021, via an existing electricity interconnector between Singapore and Malaysia.
An importer will be selected through an open and competitive selection process, said EMA.
"Potential importers will have to demonstrate their supply reliability, credibility and track record, ability to secure demand from Singapore consumers, and manage the carbon output of generation supply," it added.