Solar and nuclear power are among Singapore’s best options for electricity generation in the long term. The two are part of the range of options to meet the challenges of the future, said the city-state’s Senior Minister of State for Trade and Industry S. Iswaran.
He told Parliament yesterday that the nation remains exposed to the “vicissitudes of global energy markets” because it imports almost all of its energy. This means it will be affected by price volatility even as energy prices continue to rise over the long term. Singapore is also affected by competition for energy supplies and carbon constraints as part of a global climate change deal.
“Our strategy to meet the global energy challenges rests on two key thrusts: diversification to maintain a range of energy options; and competitive energy markets,” he said.
Solar energy has been touted as the best option for Singapore given the climate, although there are obstacles as the cost of solar-generated electricity is still about twice that of grid electricity and heavy cloud cover means it is unreliable.
Mr Iswaran again reiterated that solar energy is “one of the most promising in our context for electricity generation” of available renewable sources.
He expects the price of solar energy will be on par with the electricity generated through the grid in the medium term but more infrastructure needs to be developed and improved “for efficient installation and integration of solar panels… (and) to cope with… fluctuations in weather conditions”.
The idea for studying the feasibility of nuclear energy was raised by the Economic Strategies Committee and backed by the Government, but it has generated some public concern.
MP for Marine Parade GRC Dr Muhammad Faishal Ibrahim and MP for Holland-Bukit Timah GRC Mr Liang Eng Hwa were among those who asked about the associated risks. Mr Iswaran said the Government is considering the nuclear option now because it meets all three of its energy policy objectives: enhancing energy security, reducing carbon emissions and mitigating the impact of volatile oil and gas prices.
Other developed countries like France, Switzerland and Japan have used nuclear energy for a long time. “These are all developed nations with high standards of living and exacting safety regulations.”
The Ministry of Trade and Industry will lead a multi-agency effort to undertake the feasibility study, which will commence later this year.
Mr Iswaran also said electricity imports could help the country gain access to alternative energy sources such as hydropower and so free up valuable land.
Non-Constituency MP Sylvia Lim asked which countries would be considered and whether there would be added political risks on top of the danger of unreliable, irregular supplies.
Mr Iswaran replied that “there is no fixed idea of where Singapore can import its electricity from” but that “to some extent with the limits of technology and infrastructure, (it) would suggest that the most obvious sources would be in our neighbourhood”. Singapore already imports natural gas from its immediate neighbours and “if we were not importing gas, but electricity from our neighbour, the overall risk to us as a system, in my view, remains the same”.
