KUALA LUMPUR (Bernama-Xinhua): The first cross-border trade of Renewable Energy (RE) from Malaysia to Singapore, with a capacity of 50 megawatts (MW), will begin this month, according to the Ministry of Energy Transition and Water Transformation (PETRA).
This inaugural supply of green electricity across the border is the result of a competitive bidding process conducted through Energy Exchange Malaysia (ENEGEM) in June.
"Tenaga Nasional Berhad (TNB), as the national utility company, will supply the electricity to Singapore through Sembcorp Power Pte Ltd (Sembcorp Power) using the existing interconnection network between the two countries," PETRA said in a statement today.
The bidding process via ENEGEM is part of PETRA's initiative under the Cross Border Electricity Sales for Renewable Energy Scheme (CBES RE). This phased initiative aims to achieve a total capacity of up to 300 MW using the existing interconnection network between Malaysia and Singapore.
PETRA explained that ENEGEM facilitates the procurement and supply of green electricity from Malaysia’s power grid to Singapore via a competitive bidding mechanism.
The implementation of CBES RE aligns with Malaysia’s energy transition aspirations and its commitment to supporting regional electricity supply integration initiatives through the ASEAN Power Grid. This agenda is a key priority as Malaysia prepares to assume the ASEAN Chairmanship in 2025, PETRA noted.
Earlier, a ceremony to sign the Renewable Energy Supply Agreement between TNB and Sembcorp Power was held at PETRA, witnessed by representatives from both governments.
This initiative, part of the Cross-border Electricity Sales for Renewable Energy Scheme, aligns with the Asean Power Grid (APG) initiative and Malaysia's energy transition goals, facilitating renewable energy trade with neighboring countries through Energy Exchange Malaysia (ENEGEM), TNB said in a statement.
ENEGEM conducted its inaugural auction in June, where Sembcorp secured a 50MW allocation of green electricity with renewable energy certificate, sourced from Malaysia's solar and hydro-power generation.
"This initiative positions Malaysia as a key player in green electricity trading and promotes energy security, efficiency, and sustainability across the region," said TNB President and Chief Executive Officer Megat Jalaluddin Megat Hassan.
It is noted that this initiative is a cornerstone of the APG, which envisions a sustainable, interconnected energy system for the region.
By leveraging ENEGEM, this initiative sets the foundation for future expansions and long-term collaborations, ultimately driving decarbonization and strengthening regional energy security, said the statement. - Bernama-Xinhua
