The Changing Energy Landscape Economic Competitiveness Energy Security Environment / Climate Change...

19

Transcript of The Changing Energy Landscape Economic Competitiveness Energy Security Environment / Climate Change...

Page 1: The Changing Energy Landscape Economic Competitiveness Energy Security Environment / Climate Change New Opportunities.
Page 2: The Changing Energy Landscape Economic Competitiveness Energy Security Environment / Climate Change New Opportunities.

The Changing Energy Landscape

Economic CompetitivenessEconomic Competitiveness Energy SecurityEnergy Security

Environment / Climate ChangeEnvironment / Climate Change New OpportunitiesNew Opportunities

Page 3: The Changing Energy Landscape Economic Competitiveness Energy Security Environment / Climate Change New Opportunities.

Re-Emergence of Energy Security

Strong demand

Increasing cost of production

Political risk

Narrowing of supply-demand gap

Energy Investments

Page 4: The Changing Energy Landscape Economic Competitiveness Energy Security Environment / Climate Change New Opportunities.

Natural Gas

75.8%

Fuel Oil21.6%

Diesel0.3%

Refuse2.3%

Energy Security in Singapore

Singapore’s Crude Oil Imports (2006)

Source: IE Singapore

Singapore’s Electricity Fuel Mix (1H2007)

Source: EMA

Malaysia3.7%

Australia4.5%

UAE10.5%

Qatar13.5%

Saudi Arabia32.8%

Other Middle East7.1%

Vietnam4.4%

Kuwait18.0%

Others5.4%

Page 5: The Changing Energy Landscape Economic Competitiveness Energy Security Environment / Climate Change New Opportunities.

No Silver Bullet

Strong growth in renewable energy, but contributions still small

Nuclear

Fossil fuels will still contribute around 80% of global energy supply

Improve efficiency

Clean use of fossil fuels

Carbon sinks 0

2000

4000

6000

8000

10000

12000

14000

16000

18000

19

90

20

04

20

15

20

30

Otherrenewables

Biomassand waste

Hydro

Nuclear

Gas

Oil

Coal

Global Primary Energy SupplyGlobal Primary Energy Supply

Source: International Energy Agency

MTOE

2004-2030

CAGR

1.8%

6.6%

1.3%

2.0%

0.7%

2.0%

1.3%

Page 6: The Changing Energy Landscape Economic Competitiveness Energy Security Environment / Climate Change New Opportunities.

Establishment of Energy Policy Group

Energy Policy Group

Economic Competitiveness

(MTI)

Energy Security (MFA)

Environment / Climate Change

(MEWR)

Industry Development

(EDB)

Page 7: The Changing Energy Landscape Economic Competitiveness Energy Security Environment / Climate Change New Opportunities.

National Energy Policy Framework: Energy for Growth

Economic Economic CompetitivenessCompetitiveness

Energy Energy SecuritySecurity

Environmental Environmental Sustainability Sustainability

STRONG AND SUSTAINED STRONG AND SUSTAINED ECONOMIC GROWTHECONOMIC GROWTH

Man

ag

e T

rad

e-O

ffs

Man

ag

e T

rad

e-O

ffs

Exp

loit C

on

verg

en

ceExp

loit C

on

verg

en

ce

Page 8: The Changing Energy Landscape Economic Competitiveness Energy Security Environment / Climate Change New Opportunities.

Energy Policy Group:Six Key Strategies

4. Develop Energy Industry and Invest in Energy R&D4. Develop Energy Industry and Invest in Energy R&D

3. Improve Energy Efficiency3. Improve Energy Efficiency

2. Diversify Energy Supplies2. Diversify Energy Supplies

5. Step up International Cooperation5. Step up International Cooperation

1. Promote Competitive Markets1. Promote Competitive Markets

6. Develop Whole-of-Government Approach 6. Develop Whole-of-Government Approach

Page 9: The Changing Energy Landscape Economic Competitiveness Energy Security Environment / Climate Change New Opportunities.

Vibrant and competitive electricity and gas

markets

Strategy 1: Promote Competitive Markets

Competitive markets to help keep energy affordable Electricity Vending System to enable full retail

contestability Encourage the market to innovate Correct for market failures

Electricity Vending System

Page 10: The Changing Energy Landscape Economic Competitiveness Energy Security Environment / Climate Change New Opportunities.

Strategy 2: Diversify Energy Supplies

Energy diversification to protect against supply disruptions and price increases

Avoid becoming overly dependent on any energy supplier

In competitive markets, companies have incentives to diversify

Government’s role is to create an open and flexible framework that allows diversification

But specific policies may still be necessary at times when market does not provide for sufficient diversity

Import of LNG by 2012

Page 11: The Changing Energy Landscape Economic Competitiveness Energy Security Environment / Climate Change New Opportunities.

Facilitating Introduction of New Energy Technologies

Research and development A*STAR’s Energy Technology R&D Programme SINERGY Centre National Research Foundation $170m

Test-bedding and demonstration $17 m Clean Energy R&D and Testbedding Programme

(CERT) $5 m Market Development Fund

Reducing costs and facilitating grid connection Reduce cost of plugging into grid and participating in

the electricity market Publication of “Handbook for Photovoltaic Systems”

Page 12: The Changing Energy Landscape Economic Competitiveness Energy Security Environment / Climate Change New Opportunities.

Keep Our Energy Options Open

CoalCoal• Cost competitive• Pollution controls• CO2 emissions • Ash disposal

Hydroelectric, geothermal & windHydroelectric, geothermal & wind• Cost competitive and clean• But not available or viable in

Singapore

SolarSolar• Clean, plenty of sun in S’pore• But high cost and intermittent

supply are key constraints

Biomass & waste-to-energyBiomass & waste-to-energy• Cost competitive and clean• Limited potential

Nuclear powerNuclear power• Stringent site requirements• Need for long term solution for

disposal of nuclear waste

Page 13: The Changing Energy Landscape Economic Competitiveness Energy Security Environment / Climate Change New Opportunities.

Strategy 3: Improve Energy Efficiency

Using energy more efficiently can reduce our dependence on imports and enhance our security

Also reduces carbon intensity, air pollution and business costs

Establishment of Energy Efficiency Programme Office, led by NEA

Development of comprehensive national energy efficiency plan

Sectoral approach – power generation, industry, transport, buildings and household sectors Intelligent

LightingTri-generation

System

Smart Meters

Page 14: The Changing Energy Landscape Economic Competitiveness Energy Security Environment / Climate Change New Opportunities.

MARKETS

Transport

Power

Industry

Building

Deliver

Energy Solutions

FossilEnergy

Non FossilEnergy

Oil

Gas

CoalSolarFuel CellsBiomass

Wind Others

Strong technology foundation

SECURITY

CLIMATECHANGE

URBAN-ISATION

ECON GROWTH

Integrate

GridManagement

Test &Integration

Trade(fuels, carbon)

EnergyServices

DRIVERS

Strategy 4: Build Energy Industry and Invest in Energy R&D

Page 15: The Changing Energy Landscape Economic Competitiveness Energy Security Environment / Climate Change New Opportunities.

SolarOil BiomassH2 /Fuel Cells

Widen our Lead in Oil and Develop New Verticals

Gas

Page 16: The Changing Energy Landscape Economic Competitiveness Energy Security Environment / Climate Change New Opportunities.

New R&D Programmes

EDB’s Clean Energy Research & Test-bedding Programme

EfficientBuildingSystemsUtility

Communications

DynamicSystemsControl

DataManagement

DistributionOperations

DistributedGeneration& Storage

Plug-In Hybrids

SmartEnd-UseDevices

ControlInterface

AdvancedMetering

Consumer Portal& Building EMS

Internet Renewables

PV

EfficientBuildingSystemsUtility

Communications

DynamicSystemsControl

DataManagement

DistributionOperations

DistributedGeneration& Storage

Plug-In Hybrids

SmartEnd-UseDevices

ControlInterface

AdvancedMetering

Consumer Portal& Building EMS

Internet Renewables

PV

A*STAR’s SINERGY Centre

A*STAR’s Energy Technology R&D Programme

NRF’s Clean Energy Programme

Page 17: The Changing Energy Landscape Economic Competitiveness Energy Security Environment / Climate Change New Opportunities.

Strategy 5:Step up International Cooperation

Promote regional and international energy cooperation to further our energy interests

Promote security of vital energy sea lanes in the region

Promote Singapore as a centre of energy research and excellence

Page 18: The Changing Energy Landscape Economic Competitiveness Energy Security Environment / Climate Change New Opportunities.

Strategy 6: Develop Whole-of-Government Approach to Energy Policy

Energy Policy Group

Economic Competitiveness

(MTI)

Energy Security (MFA)

Environment / Climate Change

(MEWR)

Industry Development

(EDB)

MTI Energy Division

Clean Energy Programme

Office

Energy Efficiency Programme

Office

Page 19: The Changing Energy Landscape Economic Competitiveness Energy Security Environment / Climate Change New Opportunities.

Thank You