Sembcorp Industries has unveiled its ambitious strategic plan for 2023-2028, which includes a substantial investment of approximately $10.5 billion in renewable energy projects. The move is part of the company's commitment to expanding its gross installed renewable capacity and reducing its emission intensity by 2028.
This $10.5 billion commitment represents a significant portion, accounting for 75% of the total investments planned for the period spanning 2024 to 2028. Sembcorp Industries has outlined a well-rounded allocation for the remaining investment, dedicating 10% of its capital to hydrogen-ready assets, another 10% to decarbonisation solutions, and 5% to its integrated urban solutions segment.
As it stands, Sembcorp's gross renewable capacity stands at 12 gigawatts (GW), constituting 61% of its energy portfolio. The company has set an ambitious target to expand this capacity to 25 GW by 2028.
In addition to these expansion goals, Sembcorp Industries has already made significant strides in reducing its greenhouse gas emission intensity. The company has successfully achieved its 2025 target of 0.40 tonnes in carbon dioxide equivalent per megawatt hour (tCO2e/MWh) for Scope 1 and 2 emissions. Looking ahead, it aims to further reduce its emission intensity to 0.15 tCO2e/MWh, down from the 2023 forecasted level of 0.30 tCO2e/MWh.
Sembcorp Industries has underlined its commitment to leveraging gas as a transitional fuel to fund its renewable energy growth. This strategy is supported by the stability provided by its contracted gas portfolio, ensuring cash flow visibility during the transition towards cleaner energy sources.
