Singapore and Indonesia have solidified their commitment to sustainable development by signing three Memoranda of Understanding (MOUs) on 13 June in Jakarta. The agreements, signed by Singapore’s Minister in-charge of Energy and Science & Technology, Dr. Tan See Leng, and Indonesia’s Minister for Energy and Mineral Resources, Dr. Bahlil Lahadalia, aim to enhance cooperation in cross-border electricity trade, carbon capture and storage, and the development of a sustainable industrial zone.
The Cross-Border Electricity Trade (CBET) MOU seeks to build upon previous energy cooperation agreements between the two nations. The Ministry of Trade and Industry (MTI) of Singapore and Indonesia’s Ministry of Energy and Mineral Resources (ESDM) will work to establish policies and regulatory frameworks to facilitate electricity trade within a year.
Under the Carbon Capture and Storage (CCS) MOU, a joint working group will be formed to explore a legally-binding government-to-government agreement, essential for implementing cross-border CCS projects. This initiative underscores the importance of industrial decarbonisation in both countries.
The Sustainable Industrial Zone (SIZ) MOU will see the creation of a joint taskforce to study potential industries in Bintan, Batam, and Karimun. This agreement highlights the importance of regulatory certainty for renewable energy projects, which is expected to attract further investments in Indonesia.
Dr. Tan See Leng remarked, “This marks a significant milestone in our continued partnership with Indonesia under the Prabowo administration. The MOUs reflect both countries’ resolve to pursue impactful low-carbon and sustainability-focused initiatives.”
Further details on the activities and outcomes of these MOUs will be shared by MTI in due course.
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