Southeast Asia's largest economy will not export electricity to Singapore without fair price
Indonesia will not export electricity to Singapore unless the two countries agree on a suitable price, an official has said, casting doubt on plans to supply up to 3.4 gigawatts of low-carbon electricity to the city-state.
Indonesia's Energy and Mineral Resources Minister, Bahlil Lahadalia, has stated that the Southeast Asian giant is not planning to export electricity to Singapore in the near future. The priority, he emphasized, remains meeting Indonesia's own energy needs. This stance comes amid ongoing tensions between the two nations over issues such as transboundary haze and natural gas supplies.
The two countries are attempting to finalize a major bilateral energy project, initially proposed in June 2025, which aims to facilitate cross-border electricity trade, explore carbon capture and storage, and develop a sustainable industrial zone in Indonesia's Riau Islands. However, the proposed price for electricity exports remains a contentious issue.
Bahlil did not disclose the specific price he had calculated for exports, but he reiterated that the matter would hinge on whether Singapore could meet Indonesia's proposed price terms.
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