Sunseap-led consortium to build 7 GWp solar power system in Riau, Indonesia

A CONSORTIUM led by Sunseap Group on Tuesday (Oct 26) inked a memorandum of understanding (MOU) with a number of local and international partners to explore and develop solar power systems with a combined capacity of 7 gigawatt-peak (GWp) around the Riau islands in Indonesia.

The 7 GWp capacity will be built out over time in phases, and the energy generated will match the required imports into Singapore. According to Sunseap, this will enable the Riau islands to support as well as commence various green initiatives for industries such as data centres and zero-carbon electronics productions.

The MOU was signed as part of the Asian Clean Energy Summit held at the Sands Expo and Convention Centre, and includes the group's previously announced 2.2GWp floating solar photovoltaic (PV) in Duriangkang, Batam. Other than Batam, the consortium is also considering Combol for the project.

Notable MOU parties include Indonesian companies PT Mustika Combol Indah and PT Agung Sedayu, Japan's Sumitomo Corporation, Korea's Samsung C&T Corporation, Singapore-based private equity investment firm Oriens Asset Management, American battery company ESS, and Singapore tech company Durapower Group.

In its press statement, Sunseap said its agreement comes as part of one of the largest cross-border interconnect clean energy projects in Southeast Asia, and that this will help Singapore and Indonesia meet their green goals.

By piping low-carbon energy to Singapore via a proposed new subsea power cable, the project's goal is to provide 1 gigawatt (GW) of non-intermittent low-carbon clean energy for Singapore and Indonesia - coupled with multiple energy storage systems totaling more than 12 GW hours.

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The consortium plans to link the solar PV systems from the various islands to achieve economies of scale and further optimise the capacity of a proposed new subsea cable to Singapore.

It also aims to match the required low-carbon electricity imports into Singapore of 1.2 GW by 2027 and another 2.8 GW by 2035. In doing this, the consortium will be helping to meet 20 to 25 per cent of the nation's targeted 4 GW of low-carbon electricity imports to Singapore.

"By linking various solar islands to eventually create a 7 GWp system, we are able to further optimise the subsea cable, leading to reduced cost of transmission and hence bring more affordable low-carbon clean energy to everyone in Singapore and Indonesia," said Sunseap's co-founder and chief executive, Frank Phuan.

According to Phuan, the cross-border interconnect clean energy project will be "one of the most consequential" for Singapore and Indonesia.

"Through this arrangement, the combined generation capacity will be able to generate and transmit 1GW of non-intermittent clean energy for both Singapore and Indonesia, establishing both Singapore and Batam as a clean energy gateway and hub in Asean and paving the way towards an Asean Green Power Grid," he added.