In her opening remarks at the Asia Gas Markets Conference, H.E. Gan Siow Huang, Minister of State, Ministry of Foreign Affairs & Ministry of Trade and Industry, Singapore, highlighted that natural gas remains a vital transitional fuel for Asia, enabling system stability and regional decarbonisation.
H.E. Ms Gan outlined the strategic pillars underpinning how natural gas can advance Singapore’s energy transition: Security, Support and Supplement.
Security: Enhancing gas supply resilience
With natural gas remaining Singapore’s primary energy source for the foreseeable future, it is critical for Singapore to enhance gas supply resilience. H.E. Ms Gan shared that Singapore GasCo has been established as the central procurer of natural gas to aggregate demand and procure gas from diverse sources, thereby ensuring stable and competitive gas prices.
Another key development is SLNG developing Singapore's second LNG terminal to increase the country's LNG throughput by 50 percent, to 15 million tonnes per annum.
Support: Early adopters of advanced CCGTs
To support the adoption of advanced Combined Cycle Gas Turbines (CCGTs), the Energy Market Authority (EMA) of Singapore introduced a S$44 million incentive scheme last year to mitigate early- mover disadvantage due to these higher reserve costs. Keppel and Sembcorp are deploying Singapore’s first two advanced CCGTs—expected to be operational next year, these two units will deliver 400,000 tonnes of carbon abatement per year.
Supplement: Biomethane as a promising low-carbon drop-in fuel
Singapore is partnering the industry to drive the development of biomethane supply chains, with the potential to be a low-carbon supplement to the country's natural gas supplies. H.E. Ms Gan further shared that Singapore is establishing a regulatory sandbox for the supply aggregation and sale of up to 18 TBtu of biomethane per year, sufficient to continuously generate up to 300 MW of electricity.
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