Singapore to receive renewable energy from Australian solar power project worth S$17.6B via 4,300 km undersea cable

SYDNEY: On Wednesday, Aug 21, Australia approved an A$20 billion (approximately S$17.6 billion) solar project designed to deliver renewable energy from a massive solar farm in the country’s north to Singapore through a 4,300 km undersea cable.

Environment Minister Tanya Plibersek stated that SunCable’s Australia-Asia power link will address the rising demand for renewable energy domestically and internationally.

She explained that the vast solar farm will produce enough power for three million homes, including panels, batteries, and a cable connecting Australia to Singapore.

According to Channel News Asia, SunCable’s flagship Australia-Asia power link will see the construction of what will become the largest solar precinct in the world.

The project will be rolled out in two phases. The project plans to supply up to 6 gigawatts of green electricity to major industrial users in Darwin, the Northern Territory’s capital, and Singapore.

The final investment decision is expected in 2027, with the first electricity supply projected for the early 2030s, as per SunCable.

The approval comes with strict environmental conditions. Ms Plibersek emphasised that the project must avoid disrupting the habitat of the greater bilby, a small marsupial with long, floppy ears.

The approval of this project is part of Australia’s broader effort to boost renewable energy.

The centre-left government is prioritising green projects as part of its energy strategy, contrasting with the opposition’s support for nuclear energy as a potential replacement for coal by 2050, despite nuclear power being currently banned in Australia.

SunCable, led by billionaire Mike Cannon-Brookes, described the approval as “a vote of confidence” in the project. He is a co-founder of the tech firm Atlassian and an advocate for environmental causes. Last year, he said he believed more investors would be drawn to the project.

Cameron Garnsworthy, Managing Director of SunCable Australia, said, “SunCable will now focus its efforts on the next stage of planning to advance the project towards a final investment decision targeted by 2027,” he said. The company has yet to disclose specific financing details.

SunCable said it discussed conditional approval for the cable interconnector with Singapore’s energy regulator and the Indonesian government about building the cable in its waters.

The Northern Territory government and its environmental authority cleared the project last month. /TISG

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