Sembcorp Power Pte Ltd, a subsidiary of Singapore's Sembcorp Industries Ltd, has inked two significant power purchase agreements (PPAs) with a corporate client, marking a significant milestone in the renewable energy landscape.
Announced on Monday by the parent company, Sembcorp Industries Ltd, the PPAs entail the supply of renewable and conventional energy for a duration of up to 18 years. Under these agreements, Sembcorp Power will deliver up to 75 MWp of solar capacity and 30 MW from its gas-fired generation portfolio to subsidiaries of US digital infrastructure company Equinix Inc, specifically for Equinix's data centers in Singapore.
“This partnership signifies a crucial step towards sustainable energy solutions, aligning with our commitment to drive renewable energy adoption in Singapore,” stated a spokesperson from Sembcorp Industries Ltd, emphasizing the strategic importance of the agreements.
For Equinix, the renewables PPA marks its inaugural power supply agreement of such nature in Singapore, highlighting the company's dedication to integrating clean energy sources into its operations. Sembcorp Industries Ltd, leveraging its extensive portfolio totaling 727 MWp, will source solar energy to fulfill Equinix's renewable energy requirements.
In parallel, the PPA for conventional power will further solidify Sembcorp's presence in the Singaporean energy market, increasing its long-term contracted gas-fired capacity from 74% to 77%. This move underscores Sembcorp's commitment to providing a diverse energy mix to meet the evolving needs of its customers.
