Singapore Greenlights Import of Solar Energy from Australia via Undersea Cable

Singapore's Energy Market Authority has granted conditional approval for a multi-billion dollar project to transport solar-generated electricity from Australia, marking a significant step for the Australia-Asia PowerLink initiative. Project owner SunCable announced the approval, which follows an assessment of the project's technical and commercial viability.

The ambitious plan aims to generate 6 gigawatts (GW) of electricity at a large solar farm in Northern Australia, with approximately one-third of that power set to be delivered to Singapore through an undersea cable. SunCable, backed by Atlassian billionaire Mike Cannon-Brookes, estimates the project will bring about A$20 billion ($13 billion) in economic benefits to northern Australia.

Despite the optimism surrounding the project, it has faced scrutiny regarding its feasibility. Cannon-Brookes assumed control after a dispute with co-owner Andrew Forrest of Fortescue Metals over its future prospects. Following the recent approval, SunCable can advance to the next phase of development, which includes collaborations with Indonesia, as the cable will traverse its waters. The company plans to invest $2.5 billion in Indonesia over the project's duration.

Having already invested A$270 million in development across Australia, Singapore, and Indonesia, SunCable anticipates making a final investment decision by 2027. The project also secured environmental approval from Australia in August.