Singapore seeks to limit energy risks as Indonesia cuts gas

Indonesia, a major global gas exporter, has recently cut its natural gas shipments to Singapore, a move aimed at bolstering domestic supply. Singapore's Energy, Trade and Industry Minister Tan See Leng addressed the situation at the Singapore International Energy Week, emphasizing the city-state's commitment to energy security. Despite the recent reduction in gas imports, Tan reassured the public that Singapore's energy supplies are sufficient, with the cuts representing less than 2% of total daily demand.

He stressed that there is no concern over potential shortages, stating, "We can keep calm and carry on."

To further safeguard against potential disruptions, Singapore plans to expand its liquefied natural gas (LNG) capacity, build new power plants, and increase fuel stockpiles. While Indonesia remains a key gas supplier to Singapore, the country has gradually reduced its dependence on pipeline supplies, now importing nearly all its gas needs as LNG from diverse sources, including the US, Africa, the Middle East, and Australia.

Singapore has set a goal to increase its LNG throughput capacity by 50% by 2030, once its second import terminal is operational. Additionally, Singapore is in talks with Saudi Arabia to store crude oil in Jurong Island, a development that could further bolster its energy security.