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Firms partner to export clean electricity to Singapore

  • Market: Electricity
  • 20/04/22

Energy infrastructure developer Quantum Power Asia and German solar energy solutions provider Ib Vogt will build solar and battery storage facilities in Indonesia, which could export up to 4 TWh/yr of electricity to Singapore.

Anantara Energy, a joint venture between Singapore-based Quantum and Ib Vogt, aims to develop renewable energy in Indonesia and support Singapore's goal of importing clean energy, the companies said on 19 April. Quantum will provide $5bn to build a 3.5GW solar facility and 12GWh battery storage facility across 4,000 hectares in Indonesia's Riau Islands province. The electricity will be transported to Singapore via an undersea cable.

If approved by Singapore's Energy Market Authority (EMA) as a licensed electricity importer, Anantara's project could be fully commissioned in 2032 and is expected to meet about 8pc of Singapore's electricity needs, the companies said.

About 95pc of Singapore's electricity is currently produced from natural gas. The country has plans to import up to 4GW, or 30pc, of its electricity from low-carbon sources by 2035, as part of its aim to decarbonise its gas-heavy power sector and ensure energy security. The EMA has accordingly issued requests for proposals (RFPs) to supply and import low-carbon electricity. Anantara's project comes in response to the RFPs.

Anantara has also appointed Singapore electricity retailer Union Power as its import and retail partner to deliver clean energy and related services to the residential, industrial and commercial sectors.

The project "will become the largest [photovoltaic] storage system globally to date," said managing director and chief executive officer of Ib Vogt, Simon G Bell, adding that "it will also contribute significantly to Singapore's journey towards carbon neutrality."

EMA in March published a report setting out decarbonisation scenarios for Singapore's power sector. In two out of the three scenarios presented, Singapore relies significantly on electricity imports — possibly up to 60pc of its energy mix — to diversify its energy supply, emphasising the importance of clean electricity imports in Singapore's journey to net zero emissions.


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24/02/25

Italy's Saipem to merge with Norway's Subsea 7

Italy's Saipem to merge with Norway's Subsea 7

London, 24 February (Argus) — Italy's Saipem and Norway's Subsea 7 have agreed to merge, creating a global energy services company with revenues of around €20bn/yr ($21bn/yr) and an order backlog of €43bn. The move is designed to create the scale to tackle large and complex energy projects focused on engineering and construction (E&C) but also on energy transition projects such as wind and carbon capture. Saipem held talks with Subsea 7 over a possible tie-up several years ago but failed to reach an agreement. "The combination will give us a scale that is more in harmony with the magnitude of the projects in offshore energy for oil and gas and renewables industries," said Kristian Siem, chairman of Subsea 7. Under the merger, Subsea 7 will be folded into its Italian rival, with shareholders of the Norwegian company receiving 6.688 Saipem shares for each share they own, along with an extraordinary dividend of €450mn. Each set of shareholders will hold 50pc of the new company on completion. Saipem's largest shareholders — oil and gas firm Eni and state lender CDP — and Subsea 7's largest shareholder Siem Industries have all entered into a separate agreement to support the deal. The new company, Saipem 7, will have a fleet of more than 60 vessels which management says will give it the flexibility to better respond to client requests. "The new company is very, very much an offshore E&C company," said Subsea 7 chief executive John Evans, noting that over 80pc of its operating income comes from this segment. "The two fleets are very compatible and complementary and will allow clients to have a single global service provider to provide everything from ultra-shallow water in the Middle East to ultra-deep in some of the newer provinces," he said. Asked if the new company would be asset light by leasing more of its vessels, Evans said the model of combining older company-owned ships and leased units would continue. "You have to remember that with our backlogs we will be very busy for the next 2-3 years," he said. The merger is expected to generate annual synergies of around €300m in the third year after completion, driven in large part by fleet optimisation and procurement. It is scheduled to close in the second half of 2026 with a binding merger agreement expected mid-2025. Saipem 7 will be listed in both Milan and Oslo and will be headquartered in Milan, although the offshore E&C business will be run as a separate business based in London. Saipem chief executive Alessandro Puliti, who will take over the role of chief executive at Saipem 7, said any decision to spin off the offshore E&C division at a later stage would be evaluated on an opportunistic basis. Puliti said the new company is expected to pay a dividend of at least 40pc of free cash flow after repayment of lease liabilities. By Stephen Jewkes Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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German power industry split on capacity market design


21/02/25
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21/02/25

German power industry split on capacity market design

London, 21 February (Argus) — Stakeholders in the German power market are divided on how best to implement a capacity market in Germany, or whether it is needed at all, Argus heard on the sidelines of the E-World conference in Essen last week. Instead of entertaining the "misleading" debate over centralised versus decentralised mechanisms, in which the government tries to "delegate accountability for security of supply", what is really needed is "centralised accountability with decentralised assets", Stefan Joerg-Goebel, senior vice-president for Germany at utility Statkraft, said. "The market should be centrally organised but technologies bidding into the market should include, for example, decentralised demand-side response and batteries," he said. But "only the state can really secure supply". 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19/02/25
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19/02/25

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Brussels, 19 February (Argus) — The European Commission has set out plans to tackle the cost of energy in the EU, warning in a draft document that Europe risks de-industrialisation because of a growing energy price gap compared to global competitors. High energy prices are undermining "the EU's global standing and international competitiveness", the commission said, in a draft action plan for affordable energy, seen by Argus . The plan is expected to be released next week, alongside a clean industrial deal and other strategy documents. Much of the strategy relies on non-binding recommendations rather than legislation, particularly in energy taxation. Officials cite EU reliance on imported fossil fuels as a main driver of price volatility. And they also highlight network costs and taxation as key factors. For taxation, the commission pledges — non-binding — recommendations that will advise EU states on how to "effectively" lower electricity taxation levels all the way down to "zero" for energy-intensive industries and households. Electricity should be "less taxed" than other energy sources on the bloc's road to decarbonisation, the commission said. It wants to strip non-energy cost components from energy bills. Officials also eye revival of the long-stalled effort to revise the EU's 2003 energy taxation directive. That requires unanimous approval from member states. The commission pledges, for this year, an energy union task force that pushes for a "genuine" energy union with a fully integrated EU energy market. Additional initiatives include an electrification action plan, a roadmap for digitalisation, and a heating and cooling strategy. A white paper will look at deeper electricity market integration in early next year. EU officials promise "guidance" to national governments on removing barriers to consumers switching suppliers and changing contracts, on energy efficiency, and on consumers and communities producing and selling renewable energy. More legislative action will come to decouple retail electricity bills from gas prices and ease restrictions on long-term energy contracts for heavy industries. By 2026, the commission promises guidance on combining power purchase agreements (PPAs) with contracts for difference (CfDs). And officials will push for new rules on forward markets and hedging. There are also plans for a tariff methodology for network charges that could become legally binding. Familiar proposals include fast-tracking energy infrastructure permits, boosting system flexibility via storage and demand response. Legislative overhaul of the EU's energy security framework in 2026 aims to better prepare Europe for supply disruptions, cutting price volatility and levels. Specific figures on expected savings from cutting fossil fuel imports are not given in the draft seen by Argus . But the strategy outlines the expected savings from replacing fossil fuel demand in electricity generation with "clean energy" at 50pc. Improving electrification and energy efficiency will save 30pc and enhancing energy system flexibility will save 20pc, according to the draft. The commission is also exploring long-term supply deals and investments in LNG export terminals to curb prices. By Dafydd ab Iago Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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Japan sets stricter climate goal in government sector


19/02/25
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19/02/25

Japan sets stricter climate goal in government sector

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Singapore adds $3.7bn clean energy funds, mulls nuclear


19/02/25
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19/02/25

Singapore adds $3.7bn clean energy funds, mulls nuclear

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