Power generator Quantum Power Asia and German solar developer Ib vogt GmbH will jointly invest around US$5 billion (4.64 billion euros) to build a solar park of more than 3.5 GW on the Indonesian island of Riau and export electricity to Singapore.
Quantum said on Tuesday (April 19) that the two companies will realize the project through a joint venture called Anantara Energy Holdings Pte Ltd. According to an appeal issued by Singapore's Energy Market Authority (EMA), the entity has applied for a license to import electricity into Singapore from countries in the region, including Indonesia.
Earlier on Tuesday, a joint development agreement and memorandum of understanding was signed with Riau Island Province.
Quantum and Ib vogt's plans include the construction of a huge solar farm with a battery storage capacity of 12 GWh covering an area of more than 4000 hectares (9.900 acres). Once fully operational in 2032, the complex will be able to export up to 4 terawatt-hours of electricity annually to Singapore via a network of submarine cables. It is estimated that the solar power plant will be able to meet about 8% of the country's annual electricity needs.
Singapore-based Anantara has secured more than 4 terawatt-hours of power outages per year with corporate customers in the country. The joint venture will work with the Indonesian unit of Singapore-based electricity retailer Union Energy Corp. to handle connectivity for imported electricity.
Singapore aims to be carbon neutral by 2050. ($1.0 = EUR 0.927)