Speech by MOS Low Yen Ling at the STMicroelectronics and SP Group Industrial District Cooling Signing Ceremony

Mr Stanley Huang, Group CEO of SP Group

Mr Bertrand Stoltz, Executive Vice President, Asia Public Affairs and Managing Director of STMicroelectronics

Ms Rajita D’Souza, President, Human Resources & Corporate Social Responsibility, ST Microelectronics

Mr S. Harsha, Managing Director, Sustainable Energy Solutions, SP Group

His Excellency Ambassador Mario Andrea Vattani

Friends from STMicroeletronics, SP Group and Daikin

Ladies and Gentlemen

Introduction

1        Good morning. I am delighted to be here today to witness the signing of the partnership agreement between STMicroelectronics and SP Group to build a new district cooling system in ST AMK TechnoPark.

District Cooling as an Innovative Solution

2        Keeping cool is essential in hot and humid Singapore, but it is energy-intensive and a source of carbon emissions. As a country with little natural resources, our alternative energy options are limited. Therefore, it is vital to pursue innovative solutions to overcome our very unique set of constraints and to achieve our SG Green Plan goals.

3        District cooling is an innovative urban solution that can contribute to Singapore’s transition to a lower-carbon future. While the concept of a district cooling system is not complex, the benefits are manifold. 

4        The district cooling system at ST’s AMK TechnoPark built by the SP Group will be Singapore’s largest district cooling system for an industrial development. Instead of separate chillers in individual buildings, the centralised chilling network of the district cooling system provides benefits of economies of scale and greater energy efficiency. It will help STMicroelectronics achieve 20 per cent in energy savings, free up more than 4,000 square meters of space for other meaningful purposes, and save up to 120,000 tons of carbon emissions per year. This is equivalent to taking more than 100,000 cars off the road.

5        This development will also contribute to Singapore’s climate ambition to achieve net-zero emissions by or around mid-century under the Singapore Green Plan 2030.

How Businesses Advance Climate and Sustainability Goals

6        In addition, I am very heartened and encouraged to hear about the broader sustainability plans that STMicroelectronics and SP Group have. The private sector plays an important role, alongside the public and the people sector, in advancing Singapore’s climate and sustainability goals.

7        Businesses that adopt sustainable practices, such as energy efficiency improvements, send strong signals to their partners, customers and suppliers about the urgency of sustainability issues and the need for serious action. At the same time, businesses can harness sustainability as a competitive advantage. For instance, businesses can access new growth opportunities by meeting their partners’ Environmental, Social, and Governance (ESG) requirements. Those who fail to adapt, innovate and transform risk becoming obsolete. 

8        We must all play our part to conserve electricity. While the Government is providing support to help businesses through this period, we hope businesses can continue to plan for the longer-term. By implementing energy efficiency measures, businesses become more resilient and are able to better buffer against the impact of price surges and global uncertainties.

9        At the same time, we can look forward to many more new opportunities as we embark on our net-zero journey together. We hope more companies to embrace transformation, continue to innovate, and explore areas for collaboration as we move towards a low carbon future.

Conclusion

10       My heartiest congratulations to STMicroelectronics and SP Group. I commend your commitment to be a part of Singapore’s green transition. I hope this initiative will inspire many more innovative decarbonisation solutions across other industrial developments, and spur more companies to seek opportunities in sustainability.

11       Thank you.