Historic Initiative Links Four ASEAN Nations
Singapore has commenced importing renewable energy from Laos via Thailand and Malaysia, marking a significant milestone in regional energy cooperation. This inaugural effort began on Thursday, 23 June, following a two-year power purchase agreement between Keppel Electric and Laos’ state-owned Electricite du Laos (EDL).
The Lao PDR-Thailand-Malaysia-Singapore Power Integration Project (LTMS-PIP) enables the importation of up to 100 megawatts (MW) of hydropower through existing interconnections, representing the first multilateral cross-border electricity trade involving four ASEAN nations. This supply equates to approximately 1.5% of Singapore’s peak electricity demand in 2020, enough to power about 144,000 four-room HDB flats for one year.
This landmark initiative aligns with Singapore’s Green Plan 2030, contributing to its sustainability goals by tapping into abundant renewable energy in the region. The project also serves as a stepping stone toward the broader ASEAN Power Grid (APG) vision, which aims to establish a multilateral electricity trading network beyond neighbouring countries to enhance interconnectivity, energy security, and regional sustainability.
The Energy Market Authority (EMA), alongside Keppel Electric, EDL, and the Laotian Ministry of Energy and Mines, highlighted the benefits of the project in a joint statement. These include facilitating regional electricity trading, attracting investments, and bolstering electricity supply security and cost-competitiveness.
Ngiam Shih Chun, Chief Executive of EMA, underscored the importance of interconnected power grids in advancing renewable energy deployment, supply diversification, and grid stability. “The LTMS-PIP is pivotal in realising the ASEAN Power Grid vision and complements efforts to transition towards a cleaner energy future,” he noted.
Since its conception in 2014 during the ASEAN Energy Track, the LTMS-PIP has addressed technical, legal, commercial, and regulatory challenges, paving the way for seamless collaboration among Laos, Thailand, Malaysia, and Singapore. Laos’ Minister for Energy and Mines, Daovong Phonekeo, highlighted the country’s commitment to supporting renewable energy development, including solar and wind power.
Looking ahead, Keppel Electric and EDL aim to enhance renewable energy tracking and verification through Renewable Energy Certificates, while continuing to work with Thailand’s Electricity Generating Authority and Malaysia’s Tenaga Nasional Berhad for successful project execution.
The LTMS-PIP exemplifies the potential of multilateral power trade to overcome geographical barriers, ushering in a new era of energy cooperation and sustainability for the ASEAN region.
