Singapore urges contract compliance as Indonesia reduces gas exports
Prime Minister Lawrence Wong said Singapore will protect its interests after Indonesia announced a cut of up to 31 billion BBTU per day in gas supplies, and highlighted plans to diversify energy sources including nuclear options.
Singapore's Prime Minister Lawrence Wong said the city-state expects all parties to honour commercial contracts after Indonesia announced a reduction in natural gas exports to Singapore. The cut, announced for Oct 24, will lower deliveries by up to 31 billion British thermal units per day (BBTUD) from pipelines originating in Natuna and Sumatra.
"We expect all parties to honour their commitments, and Singapore’s gas importer will take the necessary steps to protect its rights and interests under these contracts," Wong said at the PAP conference on Oct 25.
The Energy Market Authority (EMA) noted that the reduction represents less than 2% of Singapore’s total daily gas demand of over 1,000 BBTUD, with the actual decrease amounting to about 17 BBTUD over an 18-day period.
Wong highlighted that Singapore has been preparing for supply disruptions by investing in liquefied natural gas (LNG) terminals, allowing imports from multiple countries beyond the pipeline route from Indonesia. He also said the government is studying nuclear power as a cleaner, reliable electricity source, acknowledging safety concerns and outlining a 2027 assessment by the International Atomic Energy Agency covering 19 critical safety and waste-management areas.
The prime minister also raised broader regional challenges such as online scams and haze, stressing the need for international cooperation while affirming Singapore will continue to protect its citizens and work with partners to address these issues at their source.