Indonesia and Singapore pledge cooperation after gas export cut
Singapore’s foreign minister Vivian Balakrishnan and Indonesian President Prabowo Subianto pledged high-level cooperation on energy, haze and bilateral issues on 28 October, reaffirming a political commitment to resolve the recent gas-supply dispute. Indonesia had reduced daily natural-gas shipments to Singapore by about 31 million cubic feet – roughly a 9 % cut – on 24 October to meet domestic power needs, a move it said met contractual minimums. Singapore’s Energy Minister Tan See Leng said the reduction, representing less than 2 % of demand, should not affect short-term electricity prices, while the state-owned Gas Supply began reviewing contracts and seeking commercial remedies. Singapore’s Workers’ Party expressed regret over the cut and urged respect for existing contracts.
In response, Singapore’s Energy Market Authority announced a S$5. 3 billion, five-year plan to expand the power grid, add new gas-fired plants and boost solar capacity, and the Energy Minister outlined broader diversification of energy sources. Indonesia’s energy minister also said he would travel to India and China to negotiate long-term gasoline contracts.