Sembcorp Utilities, a wholly owned subsidiary of Sembcorp Industries, has received conditional approval from Singapore’s Energy Market Authority (EMA) to import up to 1.3 gigawatts (GW) of renewable electricity from Vietnam and Malaysia through a regional power transmission corridor. The approval was presented at the opening of Singapore International Energy Week 2026 on October 26.
Under the proposed Vietnam-Malaysia-Singapore (VMS) energy initiative, electricity generated by offshore wind farms in Vietnam will be transmitted through Malaysia to supply both Malaysian and Singaporean markets. Malaysia will serve as both a recipient of renewable electricity and a transit country for cross-border power transmission.
Electricity imports under the initiative are expected to begin in 2035, subject to further regulatory clearances and project approvals. The conditional approval will allow the participating companies to advance the next stages of project development.
The VMS initiative aims to supply Singapore with low-carbon electricity by connecting Vietnam’s offshore wind resources with solar power generation and battery energy storage infrastructure in Malaysia.
The proposed arrangement is designed to facilitate regional electricity transmission and enable renewable power generated in Vietnam to reach Singapore through Malaysia’s electricity network. The project brings together energy companies from all three countries to develop the infrastructure and commercial arrangements required for cross-border electricity trading.
The project builds on a joint development agreement signed in May 2025 by two participating consortia.
The first consortium comprises PetroVietnam Technical Services Corporation (PTSC), a member of Vietnam National Industry–Energy Group (Petrovietnam), and Sembcorp Utilities.
The second group, known as the MY Energy Consortium, comprises Malaysia’s Tenaga Nasional Berhad (TNB) and Petroliam Nasional Berhad (Petronas).
Since signing the agreement, the participating companies have progressed technical and commercial work in coordination with government authorities, regulators and other stakeholders across Vietnam, Malaysia and Singapore.
The conditional approval from Singapore’s EMA marks a further step in advancing the proposed regional renewable electricity supply arrangement. The project will require additional regulatory and project approvals before electricity imports can commence, with operations currently targeted to begin in 2035.
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