Budget 2025: Singapore to add S$5 billion to Future Energy Fund
Government to also proactively study the potential development of nuclear power
THE Singapore government will add S$5 billion to its Future Energy Fund, launched in 2024, to further support its goals to secure clean power, said Finance Minister Lawrence Wong in his Budget speech on Tuesday (Feb 18).
The minister said that expanding access to clean energy is a “major national imperative”, given the Republic’s growing energy needs and to bring down carbon emissions.
“Be it electricity imports, hydrogen or nuclear, we will need to make major investments in new infrastructure,” said Wong, who is also the prime minister.
In the immediate term, Singapore is importing low-carbon electricity from the region.
The minister expects that, by 2035, around one-third of the country’s projected electricity demand can be met through electricity imports.
But he also noted the need for domestic sources of clean power to ensure greater energy resilience.
BT in your inbox
Start and end each day with the latest news stories and analyses delivered straight to your inbox.
One such source is nuclear energy. He said that the government will proactively study the potential development of nuclear power in Singapore, and take further steps to systematically build up its capabilities in the area.
The Republic has signed agreements with the US on civil nuclear cooperation, and is working on similar cooperation with other countries that have capabilities and experience in civilian nuclear power.
The government will also reorganise itself to provide greater emphasis on the work ahead.
SEE ALSO
In 2010, Singapore considered the possibility of using nuclear power, but assessed that conventional nuclear technologies were not suitable for the city-state.
Since then, there have been significant advancements in nuclear technologies, with interest in nuclear energy increasing worldwide.
Within the region, Malaysia and Indonesia have some experience in nuclear technologies, as they have operated research reactors for several decades, the finance minister added.
For more Budget stories, visit businesstimes.com.sg/singapore-budget-2025
Copyright SPH Media. All rights reserved.
