KUALA LUMPUR: The Vietnam-Malaysia-Singapore (VMS) renewable electricity initiative has reached an important milestone, with Singapore’s Energy Market Authority (EMA) granting conditional approval to Sembcorp Utilities Pte Ltd, a wholly-owned subsidiary of Sembcorp Industries, the designated importer for the proposed project, said a joint statement.
It said the approval provides a basis for the participating consortia to advance the next stages of project development, subject to the necessary regulatory and project approvals.
The VMS initiative aims to import up to 1.3 gigawatts (GW) of renewable electricity into Singapore through a regional power corridor linking Vietnam, Malaysia and Singapore.
"It will harness Vietnam’s offshore wind resources alongside solar and battery energy storage infrastructure in Malaysia for the proposed import, which is expected to commence in 2035.
"Under the proposed arrangement, renewable electricity generated in Vietnam would be transmitted through Malaysia and supplied to both Malaysia and Singapore, with Malaysia serving as both a recipient and transit country for the regional power flow,” the statement said.
The conditional approval builds on the joint development agreement (JDA) signed in May 2025 between the consortium comprising PetroVietnam Technical Services Corporation (PTSC), a member of Vietnam National Industry-Energy Group (Petrovietnam), and Singapore-based Sembcorp Utilities Pte Ltd (SCU); and MY Energy Consortium, comprising Malaysia’s Tenaga Nasional Bhd
(TNB) and Petroliam Nasional Bhd (PETRONAS).
Since signing the JDA, the participating consortia have advanced technical and commercial activities in close collaboration with governments, regulators, and other stakeholders across the three countries, it said.
"The VMS initiative supports broader efforts to unlock Southeast Asia’s renewable energy potential, strengthen cross-border energy connectivity and contribute to the advancement of the ASEAN Power Grid,” it said. - Bernama
