Gencos warm to power futures market scheme

[SINGAPORE] Keen to get an electricity futures market up and running shortly, Singapore has been dangling "carrots" to the generating companies (gencos) to get them behind the move. These involve some guaranteed additional sales volumes via the vesting contract scheme for electricity supplies here.

This was exactly the same "hook" which got the gencos to ink LNG purchase deals which backed the building of the multibillion-dollar Singapore LNG terminal three years ago.

BT understands that with the incentive from regulator Energy Market Authority (EMA), most, if not all, gencos have indicated their interest in participating in the planned market for forward electricity products. But whether they will finally come on …