Malaysia and Singapore have announced plans for two new interconnections to facilitate cross-border electricity trade, underscoring their commitment to energy security and decarbonisation. This development was revealed during the 43rd ASEAN Ministers on Energy Meeting in Kuala Lumpur on 17 October 2025.
Singapore Energy Interconnections, SP Group, and Tenaga Nasional Berhad have signed a Joint Development Agreement to conduct detailed feasibility studies for a second electricity interconnection between Singapore and Peninsular Malaysia. This proposed interconnector, building on a pre-feasibility study completed in May 2025, could support up to 2 gigawatts (GW) of capacity by 2030, enhancing the existing link that allows up to 1 GW of bi-directional electricity flows. The agreement was witnessed by key officials, including Malaysia’s Deputy Prime Minister, Datuk Amar Haji Fadillah bin Haji Yusof, and Singapore’s Minister-in-charge of Energy, Dr Tan See Leng.
In a parallel initiative, Singapore’s Energy Market Authority has granted Conditional Approval to Sembcorp Utilities, in partnership with Sarawak Energy Berhad, to import approximately 1 GW of low-carbon electricity from Sarawak, Malaysia. This project, primarily powered by hydropower, is expected to commence operations around 2035, pending final approvals and subsea cable installation. The announcement was made at ceremonies attended by high-ranking officials from both countries.
These interconnections are poised to significantly bolster regional energy cooperation, contributing to the broader goals of energy security and sustainable growth.