he Keppel Sakra Cogen Plant (KSC Plant), located in the Sakra sector of Jurong Island, Singapore, will be a 600MW advanced combined cycle gas turbine (CCGT) power plant. The Keppel company is working with Mitsubishi Power and Jurong Engineering consortium on the project. The groundbreaking of the KSC plant comes on the back of Singapore identifying hydrogen as a major decarbonization pathway to support Singapore’s international climate commitment to achieve net zero emissions by 2050. The KSC Plant is designed to be able co-fire with 30% hydrogen content and has the capability of shifting to run entirely on hydrogen in line with the decarbonisation of Singapore’s power sector.

This is a Combined Cycle Gas Turbine (CCGT) power plant. The power plant can run on dual-fuel. The primary fuel being used to power the plant will be natural gas. In case of shortage of natural gas the plant will run on Hydrogen. The facility will be commissioned in 2026.

  Jurong Engineering and Mitsubishi Power Asia Pacific are undertaking all the engineering procurement construction services for the gas fired power project. In addition, as a CCGT power plant, the KSC Plant would be able to produce steam for use in industrial processes for energy and chemicals customers on Jurong Island. Expected to be completed in the first half of 2026, the KSC Plant will operate initially on natural gas as a primary fuel, and is envisaged to be able to save up to 220,000 tons per year of CO2 as compared to Singapore’s average operating efficiency for equivalent power generated.

 Cindy Lim, CEO of Infrastructure Division, Keppel, comments:

“As Singapore’s first hydrogen ready power plant, the Keppel Sakra Cogen Plant represents a decisive step by Keppel to invest in best-in-class power generation technology and to pivot to low-carbon solutions for power generation in good timeTo this end, Keppel is also working with international partners on low-carbon hydrogen, and hydrogen-derived fuels such as green ammonia, to support the decarbonization of the energy and chemical industries as well as the maritime and aviation sectors.”

   Mr Ngiam Shih Chun, CE of Energy Market Authority, said electricity demand will continue to increase and more generation capacity will be needed while ensuring that the power sector transitions to a net-zero future.

 “We are honoured to play a key role in Singapore’s decarbonization efforts, supplying the KSC Plant with our cutting-edge JAC gas turbine specifically designed for seamless integration with hydrogen fuel,” said Takashi Tozawa, head of GTCC Business Division, Mitsubishi Heavy Industries. “With a global track record of 110 units ordered, our J-series gas turbines possess unparalleled reliability and efficiency, offering the potential to adopt hydrogen into the plant’s energy mix. We anticipate continued collaboration with Keppel to help make long-term net zero goals a reality in Singapore and the region.”

Ms Christina Tan, CEO of Keppel Capital, the parent company of the manager of KAIF said:

“The joint investment by Keppel Infrastructure and KAIF in the Keppel Sakra Cogen Plant reflects the Keppel Group’s asset-light business model as we seize opportunities in the energy transition. We believe that hydrogen, as a low-carbon fuel, will play a critical role in supporting Singapore’s commitment to decarbonise its power sector. Keppel Capital will continue to leverage the synergies of the Keppel Group to identify and invest in such future-ready projects to create value for our investors.”

 Mr Osamu Ono, Managing Director and Chief Executive Officer of Mitsubishi Power Asia Pacific, commented: “Mitsubishi Power looks forward to supplying the Keppel Sakra Cogen Plant with our hydrogen-ready JAC gas turbine. The plant will enjoy the unmatched combination of world-class efficiency and proven reliability backed by abundant operation hours of the fleet worldwide, T-Point 2 grid-connected combined cycle power plant verification facility located at Takasago Hydrogen Park in Japan, and our extensive experience with power generation using hydrogen-rich fuel for over half a century.  As an innovative low- and zero-carbon fuel, there is immense potential for hydrogen to be used in power generation systems to enable emissions reduction. It is our honour to partner with Keppel Infrastructure, a visionary in the energy sector, to achieve our aligned net zero vision and build a sustainable energy future for Singapore.”

  Mr Koichi Watanabe, Managing Director and Chief Executive Officer of Jurong Engineering Limited, explains:

“We are glad to have a hand in the establishment of the Keppel Sakra Cogen Plant that is part of a concerted effort towards the decarbonisation of our future power generation. Jurong Engineering will continue to diversify and strengthen our engineering capabilities by providing innovative solutions while contributing to a greener future.”

Since 2007, Keppel has been operating a 1300 MW combined cycle gas turbine generation facility on Jurong Island. The plant started with a generation capacity of 500 MW and expanded an additional 800 MW in 2013. Keppel Energy Pte Ltd. is a wholly owned subsidiary of Keppel Corporation Limited. It engaged into developing, owning and operating of power plants in Singapore, Ecuador, Brazil, China, the Philippines and Nicaragua. In line with Keppel’s asset-light business model, the Keppel Sakra Cogen Plant will be owned by Keppel Sakra Cogen Pte. Ltd. (KSC)., presently a wholly-owned indirect subsidiary of Keppel Infrastructure. It is intended that Keppel Asia Infrastructure Fund LP (KAIF)[1] and Keppel Energy will hold 70% and 30% equity interests in KSC respectively. In addition, KSC and Keppel Energy are scheduled to enter into a turnkey contract for the development of the Keppel Sakra Cogen Plant. The total investment for the Keppel Sakra Cogen Plant is expected to be around S$750 million.

Contact details:

Ang Lai Lee (Mr) Deputy General Manager Group Corporate Communications

Keppel Corporation Limited

DID: (65) 6413 6427

Email: lailee.ang@kepcorp.com

Ivana Chua (Ms)

General Manager

Group Corporate Communications

Keppel Corporation Limited DID: (65) 6413 6436

Email: ivana.chua@kepcorp.com

Mitsubishi Power contact:

Corporate Communication Department

Mitsubishi Heavy Industries, Ltd.

Email: mediacontact_global@mhi.com

Sophia Wee (Ms)

Email: sophia.wee.3z@mhi.com

Aug 15, 2023
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