Expecting continued growth in domestic electricity demand, Singapore plans to add two new hydrogen-based natural gas power plants by 2030 to ensure a stable and secure power supply. The Energy Market Authority (EMA) has invited private sector participation in the construction and operation of the power plants, each with an estimated capacity of 600MW (kilowatts), capable of supplying electricity to 864,000 households.
Singapore requires new and upgraded natural gas power generation this year to have a hydrogen mix ratio of 30%.
Traditional natural gas power plants can reduce carbon emissions by co-firing hydrogen. Starting this year (2024), Singapore's Energy Market Authority (EMA) will require all new and upgraded natural gas power plants to achieve a 10% carbon efficiency improvement and operate with a 30% hydrogen co-firing ratio. In the future, these power plants must be able to fully convert to hydrogen fuel.
By 2030, Singapore will have at least nine hybrid hydrogen-fired natural gas power plants, with a projected generating capacity exceeding 3.7 gigawatts (GW). These include four plants built by Singaporean power companies PacificLight and Meranti, expected to come online in 2025. Others include the Sakra Cogen power plant owned by Singaporean multinational Keppel Corporation, YTL PowerSeraya, and Sembcorp Industries. Sembcorp Industries's plant is expected to come online between 2026 and 2027.
The short-term cost of hydrogen co-firing is high, but in the long term it will offset the carbon tax cost.
Currently, 90% of Singapore's electricity mix comes from natural gas-fired power generation. Over the past few years, Singapore's electricity demand has continued to increase, primarily driven by advanced manufacturing, the digital economy, and transportation. Due to the growth of these power-intensive industries, electricity demand is expected to grow by at least 3.7% over the next six years, reaching between 10.1GW and 11.8GW by 2030.
Although in the short term, the construction cost of hydrogen-based natural gas power plants is higher than that of traditional natural gas power generation, David Broadstock, head of energy transition research at the Institute of Sustainability and Green Finance at the National University of Singapore, believes that "as carbon taxes continue to rise, the cost of using natural gas alone will also increase, and the use of hydrogen blends will help to partially offset these costs."
This article is reprinted with permission from RECCESSARY. The original title is "Electricity Increases 3.7% Annually! Singapore Adds Two More Hydrogen-Mixed Natural Gas Power Plants to Meet the Needs of Three Major Industries." By Chen Liyan and Chen Yingxuan. Not licensed under the CC license.
References:
*Straits Times (June 5, 2024),Singapore plans to build two more hydrogen-ready natural gas power plants by 2030
*MENAFN (June 4, 2024),Singapore invites private sector participation in hydrogen-ready power projects
Sources: Environmental Information Center