Singapore’s Open Electricity Market (OEM) has seen 40% of the city-state’s households making the switch to private retailers, quite an achievement considering the single digit percentage conversion rates usually seen in other countries with liberalised energy markets. Looking at things from a different perspective, the figures may also indicate that that the majority of consumers could be looking for more than just lower prices.
The OEM ultimately challenged consumers to gain more knowledge about the Singapore energy market and obtain the freedom and flexibility to choose which private retailers to buy their electricity supply with significant savings. All of these would not have been possible without the launch of OEM. With greater understanding of the energy market and the impacts it can cause, a study by the National Climate Change Secretariat (NCCS) found that a majority of Singaporeans were becoming more climate conscious, and were willing to take steps to reduce their ecological impact.
SolarShare—built on Electrify’s Synergy P2P energy trading technology in collaboration with Senoko Energy, represents a significant milestone as Singapore’s first peer-to-peer renewable energy trading platform. SolarShare will support up to 100 participants in real time P2P renewable energy trades. The project follows Electrify’s successful alpha test of Synergy in February 2019, which demonstrated the potential for commercialisation of this new energy platform.
Fully deployed, SolarShare can potentially catalyse the growth of the renewable energy sector in Singapore. Would-be prosumers who were previously on the fence may be more inclined to move forward with their plans due to the ability to monetise their excess capacity more effectively. On the other hand, consumers can enjoy access to a wider range of renewable energy options fairer market prices. This will no doubt play a role in advancing the Singapore government’s goal of government’s vision of deploying at least 2 Gigawatt-peak of solar energy by 2030.
Beyond Singapore, the SolarShare project is also in line with the region’s shift towards renewable energy. Asean is home to some of the world’s fastest growing economies and, as a consequence, its energy consumption has doubled since 1995. Overall energy demand is expected to continue growing at 4.7 percent per year through to 2034. The bloc has set an energy target to have 23% of its energy mix fulfilled by renewables by 2025. This represents a 250% increase from renewable energy generation levels in 2014. Electrify has forecasted US$60M worth of solar energy to be transacted across major Southeast Asian markets by 2023, a significant increase from US$2.6M next year.
Following the “4 Switches” deployed by Singapore to change up the energy market, SolarShare will definitely augur well in the growth potential for Synergy and P2P energy trading in Asean, bringing about a new dawn for Asia’s energy markets, filling in the gaps and maximizing the opportunities for solar energy in the years ahead. If you are interested to find out more or to register your interest as a participant, please visit www.solarshare.sg.