230 G. JINDAL ET AL.
a fixed tariff, a discount on the regulated tariff, or time-of-use tariffs to
consumers. Large consumers are also allowed to directly participate in the
wholesale market.
In addition, Singapore implemented a carbon tax starting in 2019.
The tax is applicable to all power generation companies, among other
large emitters, and will be priced at S$5 per tonne of CO2e emissions. For power generation, this is expected to add an additional tax
liability of S$2.10–2.15 per MWh, 3 and is expected to be passed on to
end consumers by the power generators, in order to incentivize efficient
electricity use.
It is important to note that while Singapore does not provide any form
of direct energy subsidies, it provides vouchers to low-income households
that can be used to offset utility bills. Compared to subsidizing the cost
of electricity directly, this approach presents all consumers with the true
cost of electricity, thus incentivizing them to save and be efficient.
Solar PV in Singapore
As mentioned previously, Singapore is “alternate energy disadvantaged,”
and thus, solar PV is the most promising source of zero-carbon electricity and a key pillar of Singapore’s strategy for achieving its 2030
climate pledge. At the same time, electricity from PV installations within
Singapore can reduce Singapore’s dependence on imported natural gas,
albeit to a small extent. Finally, Singapore’s load profile peaks mostly in
the afternoon, which coincides with the maximum PV output. Thus, PV
can play an important role in demand “peak shaving” and may possibly
reduce the need for peaking conventional generation plants in the future.
As a result, solar PV has been experiencing rapid growth in Singapore.
As shown in Fig. 10.2, the total installed capacity grew from 0.3 MWac
in 2009 to about 115 MWac by the first quarter of 2018 (Energy Market
Authority 2018c). Due to scarcity of land, there are no utility-scale solar
PV plants in Singapore. PV systems mostly comprise of small-scale rooftop
PV projects with system capacity ranging from a few kW to a maximum
of slightly more than 4 MW. The installed capacity is dominated by the
private sector and by town councils, which account for slightly more than
90% of the total share.
a fixed tariff, a discount on the regulated tariff, or time-of-use tariffs to
consumers. Large consumers are also allowed to directly participate in the
wholesale market.
In addition, Singapore implemented a carbon tax starting in 2019.
The tax is applicable to all power generation companies, among other
large emitters, and will be priced at S$5 per tonne of CO2e emissions. For power generation, this is expected to add an additional tax
liability of S$2.10–2.15 per MWh, 3 and is expected to be passed on to
end consumers by the power generators, in order to incentivize efficient
electricity use.
It is important to note that while Singapore does not provide any form
of direct energy subsidies, it provides vouchers to low-income households
that can be used to offset utility bills. Compared to subsidizing the cost
of electricity directly, this approach presents all consumers with the true
cost of electricity, thus incentivizing them to save and be efficient.
Solar PV in Singapore
As mentioned previously, Singapore is “alternate energy disadvantaged,”
and thus, solar PV is the most promising source of zero-carbon electricity and a key pillar of Singapore’s strategy for achieving its 2030
climate pledge. At the same time, electricity from PV installations within
Singapore can reduce Singapore’s dependence on imported natural gas,
albeit to a small extent. Finally, Singapore’s load profile peaks mostly in
the afternoon, which coincides with the maximum PV output. Thus, PV
can play an important role in demand “peak shaving” and may possibly
reduce the need for peaking conventional generation plants in the future.
As a result, solar PV has been experiencing rapid growth in Singapore.
As shown in Fig. 10.2, the total installed capacity grew from 0.3 MWac
in 2009 to about 115 MWac by the first quarter of 2018 (Energy Market
Authority 2018c). Due to scarcity of land, there are no utility-scale solar
PV plants in Singapore. PV systems mostly comprise of small-scale rooftop
PV projects with system capacity ranging from a few kW to a maximum
of slightly more than 4 MW. The installed capacity is dominated by the
private sector and by town councils, which account for slightly more than
90% of the total share.