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Partnership in Green Innovation in

Singapore Electricity Market

KokChan Kwong

官国田

Senoko Energy Private Limited

圣诺哥能源私营有限公司

22 October 2011

ASEAN-China Environmental Cooperation Forum 2011

Nanning, Guangxi, China 1

Content

• National Electricity Market, Singapore

• Greenhouse gas reduction

• Carbon ranking by CARMA.org

• Conserving water

• Community engagement

• Concluding remark

2

National Electricity Market Singapore 2010

SINGAPORE

POWER GROUP

Power Generation Companies

SP PowerGrid

• Market transactions = US$5.7 billion

(GDP ≈ US$200 billion)

• Installed capacity = 10.4 GW

• New capacity (2012-2014) ≈ 3 GW

• Peak demand = 6.3 GW

• Gas-fired Combined Cycle Gas

Turbine (CCGT) capacity = 6.2 GW

• Piped-gas import moratorium until arrival of LNG supply in 2013

• 10-year demand growth = 4%/yr

SP Services Electricity Retailers

EMA

Industry

Regulator

Consumers

Industry

Promoter &

Developer

NON-CONTESTABLE

<10,000 kWh

(mainly households)

CONTESTABLE (two-third)

≥10,000 kWh

(Industrial/commercial users)

System Operator

EMC

Wholesale Market

Operator

3

Greenhouse Gas Reduction

4

Senoko Repowering – Reduce, Re-use & Recycle

360MW oil plants 750MW oil plants

850MW

CCGT

1095MW

CCGT

Repower

860MW

500MW oil/gas steam plants

Carbon Intensity by Fuel Type

1000

900

800

700

600

500

400

300

200

100

0

922

757

726

629

417

Before 2000 2005-2009

Reduction of GHG by 2,500,000 tonnes per year by repowering the ageing 3x120MW oil-fired steam plants into gas-fired 3x365MW CCGT in 2000-2004.

When completed in 2012, the new 2x430MW CCGT at

Stage 2 will have 2% higher efficiency than the current best F-class fleet in Singapore. GHG will be reduced by another 1,000,000 tonnes per year.

5

2007 CO

2 mm tonnes

2007 Electricity

TWh

0.28

54.80

24.59

431.00

48.34

551.00

8.64

42.30

156.00

732.00

375.50

1,030.00

13.15

33.40

174.14

392.00

433.55

896.00

205.89

370.00

124.26

218.00

2,557.74

4,190.00

389.10

636.00

27.03

37.30

578.67

719.00

2,829.84

3,260.00

203.17

228.00

197.73

Dirty

>794 kg/MWh

215.00

Carbon Dioxide Generated in kg/MWh in Year 1990s to 2007

Switzerland

Brazil

France

New Zealand

Canada

Japan

Singapore

South Korea

Russia

United Kingdom

Taiwan

United States

Germany

Hong Kong

India

China

Australia

South Africa

Clean

<113 kg/MWh

0

5

5

5

50

49

49

88

74

86

206

195

193

214

228

253

200

326

330

364

373

395

402

444

476

484

494

434

518

557

572

519

569

560

619

610

634

630

613

633

400 600

Source: Data from CARMA (www.carma.org)

777

687

726

779

804

829

881

866

888

855

892

905

919

917

727

800

983

1000

2007

2000

1990s

6

1200

2007 CO

2 mm tonnes

2007 Electricity

TWh

Carbon Dioxide Generated in kg/MWh in 1990s to 2007(ASEAN)

Source: Data from CARMA (www.carma.org)

0.29

2.74

1.70

7.20

Laos

17

21

14

Myanmar

2007

2000

1990s

13.15

25.31

0.70

1.38

31.38

69.84

59.23

82.72

Dirty

>794 kg/MWh

33.40

61.40

0.16

2.78

61.10

124.00

94.60

Singapore

Vietnam

Cambodia

Brunei

Philippines

Thailand

Malaysia

125.00

Indonesia

Clean

<113 kg/MWh 0 200

280

381

449

395

373

412

351

406

437

548

777

792

494

499

400

417

447

514

561

561

705

495

626

756

583

633

661

600 800 1 000

1 013

7

1 200

Conserving Water

8

Cost comparison – Water is affordable in Singapore

9

National Geographic April 2010

9

What get measured what get done

Certified water efficient building Awareness training

Management buy-in

Report leak immediately Desalination Plant

10

1 400 000

1 200 000

1 000 000

800 000

600 000

400 000

200 000

0

Annual Water Consumption

Annual Total Water Used

248 108

285 130

653 959

132 959

309 390

621 655

2008 2009

NEWater Desalinated water Potable water

80 669

223 196

522 717

2010

Cost savings over 2 years

= NeWater savings +

Potable water savings

= [(653,959-522,717)*1.67]

+ [(248,108-80,669)*2.23)]

= S$592,563 (US$420k)

11

External Capacity Building

Community Engagement

12

Collaboration with agencies & NGOs

The National Weather Study Project

Competition (now renamed as Senoko Climate

Change Challenge) was launched in 2005 with support from eight agencies including MOE,

MEWR, NEA and NParks. Its aim is to raise the awareness among the school going children of the impacts of climate change on the environment. Students are encouraged to undertake hands-on environmental related projects beyond the textbooks and through learning by doing. In this way, they learn to think globally and act locally.

The adoption of Sungei Sembawang entails working with PUB, Waterway Watch

Society and neighbourhood schools to pick up litters along the park connectors and edges of the waterway. The aim is to inculcate environmental conservation and marine preservation among the young.

Over 3,000 students have participated and learnt to appreciate our waterways through this community involvement programme since 2008.

13

Collaboration with agencies

Among the pioneer batch of electric vehicles to be on trial in a compact road system in

Singapore under the auspices of Land Transport

Authority and Energy Market Authority. The vehicle is also offered to academic institutions for project studies.

Together with PUB and Defence HQ to promote energy efficiency and water conservation, hold regular utilities seminars to NS men in the depots of

Republic of Singapore Air Force and

Singapore Arm Forces. Over 2,000 NS men and defence personnel had attended the seminars.

14

Energy Challenges

THE PRIME

ENERGY

CHALLENGE

SAFE, SECURE AND ENVIRONMENTALLY FRIENDLY GAS & ELECTRICITY SUPPLIES

AT COMPETITIVE PRICES

Alignment of Three Es essential pre-requisite

-Economic Policy

-Energy Policy

-Environmental Policy

STRATEGIC

ISSUES &

CHALLENGE

FUEL SUPPLY

Diversity

Reliability

ENVIRONMENT

MARKET

DEVELOPMENT

Emissions reduction

Post-Kyoto Carbon economy

Internal & external capacity building

Liberalisation process

15

15

Concluding Remarks

• Rising fossil fuel prices and Singapore dependence on imported energy

• Coherent energy policies & incentives from regulating agencies for businesses to invest in new and emerging technologies

• Senoko embraces triple bottomline business philosophy. We are NOT the problem. We are the solutions provider.

16

17

Thank You

Mr. Kwong Kok Chan

GM

Senoko Energy Pte Ltd

111 Somerset Road #05-06

Singapore 238164

Tel: (65) 6750 0218

Fax: (65) 6754 7101

Email: kokchan@senokoenergy.com

www.senokoenergy.com

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