Logo of Phnom Penh Post newspaper Phnom Penh Post - Singapore to pump $9.2B in Indonesia projects

Singapore to pump $9.2B in Indonesia projects

Content image - Phnom Penh Post
The money will fund renewable energy projects and the development of a logistics hub in Jakarta’s Tanjung Priok port. ANTARA

Singapore to pump $9.2B in Indonesia projects

Singapore will be investing $9.2 billion to support green investment and build a logistics port hub in Indonesia, President Joko “Jokowi” Widodo said on January 25.

The money, he said, will fund renewable energy projects in Batam, Riau Islands province, and in Sumba island and West Manggarai in East Nusa Tenggara province, as well as the development of a logistics hub in Jakarta’s Tanjung Priok port, the country’s largest and busiest seaport.

“Investments in the renewable energy sector continue to be the priority of the Indonesian government to advance green and sustainable development,” he said at a joint press conference with Prime Minister Lee Hsien Loong at their Leaders’ Retreat in Bintan.

The two countries also hope to enhance their cooperation in the provision of low-carbon energy, through the facilitation of cross-border electricity trading and financing of low-carbon energy infrastructure.

The cooperation was formalised on January 25 through the inking of a memorandum of understanding (MoU) on Bilateral Partnership on Green and Circular Economy Development, and an MoU on Energy Cooperation.

Jokowi noted that Singapore has been Indonesia’s top foreign direct investor, spending $7.3 billion from January to September 2021.

Lee said: “Singapore has consistently been Indonesia’s top foreign investor since 2014, and despite the pandemic, our investments have grown.”

He pointed out that the Kendal Industrial Park has attracted $1.6 billion in investment and will create “many thousands of jobs”.

But the two countries have been exploring new areas of collaboration such as sustainability, the green economy, the digital economy and human capital development.

“And I’m happy that our officials are already meeting to discuss cooperation on sustainability,” Lee added.

Indonesia has been scaling up its green energy plans as it sees renewables as a future driver of economic growth.

Meanwhile Singapore, which relies heavily on gas for power, has made plans to import around 30 per cent of its electricity from low carbon sources, such as renewable energy plants, by 2035, with Indonesia being among its potential suppliers.

In October, Singapore’s companies inked two joint development agreements (JDA) to purchase solar energy from Indonesia.

The first was signed by Sembcorp Industries with utility company PT PLN Batam and renewable energy developer PT Trisurya Mitra Bersama (Suryagen).

Sembcorp will work on a large-scale integrated solar and energy storage project in Batam, Bintan and Karimun islands. It comprises around one gigawatt-peak (GWp) of solar power generation capability and an energy storage system to manage the intermittency for clean energy deployment and export.

The second JDA was inked by Singapore-based power generation and electricity retail company PacificLight Power (PLP) and a consortium consisting independent power producer Medco Power Indonesia and electricity company Gallant Venture, part of Salim group, for a 100MW pilot solar power import project from Indonesia to Singapore.

THE STRAITS TIMES (SINGAPORE)/ASIA NEWS NETWORK

MOST VIEWED

  • Massive stingrays may live in Mekong’s deep pools

    US scientists have suggested that unexplored deep pools in the Mekong River in an area of Stung Treng could potentially be home to significant populations of giant freshwater stingrays, one of the world’s largest freshwater fish species. This comes as a fisherman hooked a 180

  • PM takes time to meet, greet Cambodians living in the US

    After landing in the US ahead of the ASEAN-US Special Summit, Prime Minister Hun Sen was received by over 1,000 Cambodian-Americans including political analysts who welcomed him with greetings, fist bumps and selfies. Hun Sen also met with analyst Mak Hoeun, who had allegedly spoken ill

  • PM heads to Washington for ASEAN-US special summit

    Regional and international issues and how to bring the ASEAN-US partnership to another level will be discussed at length as Prime Minister Hun Sen and his ministers arrive in Washington, DC, for a special summit on May 12-13. During the trip, Hun Sen and ASEAN

  • National Assembly refutes EU resolution

    The National Assembly (NA) has hit back at a European Parliament resolution condemning the political and human rights situation in Cambodia, calling it another display of the Parliament’s “double standards”. Key points of the resolution include a warning that the Parliament could exclude the

  • Soaring global fuel prices: an opportunity for Cambodia?

    Cambodia is feeling the squeeze from the soaring global coal and oil prices. Electricity du Cambodge (EDC)would certainly be hurting from this reality, and most likely re-assessing its plans to add more coal power stations. EDC buys half of Cambodia’s electricity from plants

  • PM reflects on shoe throwing: Free speech or act of violence?

    Prime Minister Hun Sen on May 17 questioned whether a man who threw a shoe at him while he was in the US was exercising freedom of expression or if it was an act of hostility. Hun Sen was referring to an incident last week when