Sunseap, Tenaga Nasional in JV to trial import of clean energy from Malaysia

SOLAR energy provider Sunseap Group and Tenaga Nasional Berhad (TNB), Malaysia's largest electricity utility, announced on Tuesday that they intend to form a joint venture (JV) to trial the import of electricity from Malaysia.

The trial was announced by the Energy Market Authority in October 2020 to diversify Singapore's energy supply by tapping regional power grids for cleaner energy resources.

Singapore will import 100 MegaWatt of electricity generated from renewable energy sources and if successful, the JV will invest in multiple solar farms across Malaysia and other forms of clean energy such as hydroelectricity, from TNB's existing plants. The investment will ensure a reliable and stable supply of power into the Republic, said Sunseap.

The JV is expected to begin "as early as end-2021" via the existing electricity interconnector between Singapore and Malaysia.

Under the new partnership, Sunseap said the import could account for about 1.5 per cent of peak electricity demand in Singapore.

"This partnership will expand our capabilities as a leading sustainable energy provider in the region and advance our mission of bringing affordable, reliable and clean energy to our customers in Singapore, especially in the data centre space," said Frank Phuan, co-founder and chief executive officer of Sunseap.