Second Minister S Iswaran's reply to Parliament Question on Solar Photovoltaic (PV)

​Question:

Mr Yee Jenn Jong:  To ask the Minister for Trade and Industry (a) how many grid-connected commercial and household solar photovoltaic (PV) installations are there in Singapore; (b) what is the total capacity of these installations; (c) what percentage of Singapore's total electricity generating capacity does this represent; (d) how much subsidies, grants, or funding-in-kind have been given for these installations, if any; (e) what schemes are available to encourage grid-connected PV installations by the private sector and households; and (f) whether the Ministry is studying the viability of Feed-In Tariffs, Rooftop Leasing, and Solar Leasing to encourage private grid-connected PV installations.

Oral Answer by Mr S Iswaran, Second Minister for Trade and Industry:

Mr Speaker Sir, as at 1 January 2012, there were 157 grid-connected solar PV installations in Singapore with a total installed capacity of 5,546 KWp (kilowatts peak).  This is almost three times the capacity compared to the end of 2009, and it represents 0.05% of Singapore’s total generation capacity. 

Our principle is to price energy correctly.  The right price signals will help to ensure greater energy efficiency and conservation.  Hence, we do not subsidise energy through, for example, feed-in tariffs as this would lead to the inefficient use of a scarce resource. 

Also, there are challenges with the use of solar energy.  It is an intermittent source, and we have limited land for large-scale deployment of solar panels.  Nonetheless, we are investing in research, development and demonstration (RD&D) to build capabilities that can support greater adoption of solar energy.  The EDB’s Clean Energy Research and Test-bedding (CERT) programme has set aside $16.6m for government agencies to work with private companies to develop and test-bed clean energy solutions, including solar, for government buildings and facilities in Singapore.  Another $20m has been set aside for the private sector through the Solar Capability Scheme (SCS), to offset part of the capital costs to install solar technologies in energy-efficient commercial and industrial buildings.  This seeks to build capabilities and encourage innovative integration of solar panels into such buildings.

Last year, the Housing Development Board announced a pilot solar leasing scheme for 40 HDB blocks in Punggol.  Under this test-bedding arrangement, HDB supported part of the start-up costs, while the commercial partner designed, financed, installed, and is now operating and maintaining the solar PV installations, offering the town council electricity at a rate not higher than the retail electricity tariff.

All these efforts will allow us to harness solar energy to its

full potential when it becomes a cost-competitive option for Singapore.