$5 billion plan seeks to export up to 4 TWh of renewable energy annually from Indonesia to Singapore
Singapore electricity retailer Union Power Pte Ltd has been appointed as distribution partner for a proposed $5 billion project promoted by Anantara Energy Holdings Pte Ltd (Anantara) to generate renewable energy in Indonesia and export up to 4 TWh of it to Singapore.
Anantara’s project involves generating up to 3.5 GW of solar photovoltaic (PV) energy from a 4,000-hectare site in the Riau Islands and a battery capable of storing up to 12 GWh – one of the largest in the world – before being connected to Singapore via an undersea cable.
The electricity import is subject to licensing approval from the Energy Market Authority of Singapore which has announced major plans to diversify its energy mix into renewables and reduce its reliance on liquified natural gas, and transition towards carbon neutrality by 2050.
Union Power, a member of homegrown Union Energy Corporation Pte Ltd (UEC) which has more than 40 years of business history, will be involved in retailing a significant portion of the imported clean energy to its base of 22,000 residential and business customers, leveraging upon the Company’s deep domain knowledge and extensive network in Singapore.
The partnership is part of Union Power’s strategies to diversify towards solar and renewable energy, as the Company seeks to transform its business to support Singapore’s green plans. Through its solar arm Union Solar, Union Power installs, operates and finances solar PV systems on the rooftops of commercial buildings, allowing customers in Singapore to enjoy competitive solar energy tariffs compared to conventional retailer tariffs. To date, Union Solar has been building a pipeline of 11 commercial & industrial projects, and expects demand to grow in the months ahead.
Other efforts include building infrastructure for Electric Vehicle charging, as well as a partnership with a Dutch company to distribute a flexible light-weight solar foil which can be wrapped around structures, eliminating the need for supporting frames and structures and providing greater versatility of locations to harness solar power.
The agreement between Anantara and UEC, along with the formal joint-development agreement for the Anantara partnership and Anantara’s Memorandum of Understanding with Riau Islands Province, were signed on 19 April in the Indonesian embassy in Singapore in the presence of Ambassador His Excellency Mr Suryo Pratomo and the Governor of Riau Islands Province Mr Ansar Ahmad.
Singapore-registered Anantara is a joint venture between German solar energy turnkey solutions provider, ib vogt, and Quantum Power Asia, the developer of Indonesia’s first utility-scale solar PV plant.
“It is a great honour for Union Power to be part of this prestigious project” said Union Power’s Executive Director Ms. Ellen Teo. “We remain committed to the Singapore Government’s vision for a greener energy market, and believe our intimate knowledge of the issues faced by Singapore consumers will add significant value to the project. This partnership will be one of the most significant that we have undertaken, and will no doubt lead to even more opportunities in the near future. We accept this with deep honour and heartfelt commitment.”
Simon G. Bell, Managing Director and CEO, Quantum Power Asia, added that partnering with Union Power is a foundational strategy for ensuring strong execution capability in Singapore that will lead to Anatantara delivering excellence in making available clean electricity in the Singapore market.