Phnom Penh (FN), Mar. 16 – Cambodia's Royal Group Power (RGP) signed long-term Power Purchase and Export Agreement (PPEA) with Keppel Energy. In this sense, the RGP to supply and export and Keppel to import utility-scale low carbon electricity into Singapore.
The signing of the PPEA was held on 15 March 2023 and was witnessed by the Singaporean minister for manpower and second minister for trade and industry, Tan See Leng; Cambodian minister for mines and energy, Suy Sem; Cambodian delegate minister and managing director of Electricite du Cambodge, Keo Rottanak; as well as Ngiam Shih Chun, chief executive of EMA.
Tan See Leng praised the working groups of the two countries, including the Cambodia-Singapore government, Royal Group Power, Keppel Energy, and all stakeholders, for their tireless effort to work closely until the official signing of the Power Purchase and Export Agreement (PPEA)
"This agreement marks an important step in accelerating the development of renewable energy resources as well as seizing the opportunities arising from the ASEAN Power Grid of multilateral power trading beyond its border and imports low carbon electricity to Singapore," Tan See Leng underscored.
Suy Sem considered the signing of this agreement to be historic for Cambodia. He mentioned that the PPEA between the two companies is part of the framework of the Memorandum of Understanding on Cambodia-Singapore Energy Cooperation and that this project is fully supported by the governments of the two nations in accordance with ASEAN a strategic project to support energy trade and energy integration between ASEAN member states, including Cambodia and Singapore, and in line with the Master Plan on ASEAN Connectivity (MPAC) 2025 objectives.
Minister for mines and energy said that the Ministry of Mines and Energy agreed to allow the two companies to conduct a full feasibility study and collect marine data on actual locations (Marine Survey) in Cambodia's geographical waters and exclusive economic zone. The survey starts on March 2023 until the end of 2023.
"I look forward to the fruitful results of the investment projects between the two companies in the near future," Suy Sem underscored.
Kith Meng, the chairman of RGP, said, “Keppel Energy and the Royal Group have chosen to act bilaterally to accelerate our efforts to contribute to the sustained economic growth of our respective home countries by not only fueling economic growth but also by moving away from carbon-dependent electricity. As such, our success will not only benefit our two companies and our two countries but will also foster integration in the power sector of the ASEAN Community. At the same time, the implementation of our PPEA will also help to facilitate national, ASEAN Community, and global efforts to meet long-term, net-zero emission targets".
"I humbly acknowledge and sincerely thank the governments of the Kingdom of Cambodia and the Republic of Singapore for their sustained support for this ground-breaking, cross-border project,” Kith Meng added.
Lastly, Cindy Lim, CEO of KI, said, “We would like to thank the governments of Singapore and Cambodia for their support of Keppel’s large-scale cross-border low carbon energy import project. This strategic and innovative project, when completed, will catalyse the regional power grid and accelerate renewable energy growth in ASEAN as well as bolster the region’s energy resilience.”