By centralising procurement, Singapore GasCo aims to reap economies of scale and negotiate for more favourable gas contracting terms, procure natural gas from diverse sources as well as enter into longer-term gas contracts to provide more stable supply and prices.
Gas is imported from Malaysia and Indonesia by various power-generating companies such as Sembcorp Industriesand Keppel.
EMA says that Singapore GasCo "will play a key role to support a secure, resilient and cost-competitive power system as we navigate the energy transition towards a more sustainable future".
Alan Heng, previously running Pavilion Energy, has been named CEO of Singapore GasCo. Prior to Pavilion Energy, which is now a unit of energy giant Shell, Heng spent 23 years with another energy giant ExxonMobil in various planning, operations and marketing roles.
