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Sembcorp Signs 20-Year Deal to Supply Solar Power to Support Facebook’s Singapore Operations

September 18, 2018

- This makes Sembcorp Facebook’s first renewable energy partner in Asia

Sembcorp Industries (Sembcorp) is pleased to announce that it has signed a long-term solar energy deal with US-headquartered tech company, Facebook. Under this deal, Sembcorp will help provide locally-sourced renewable power to support Facebook’s recently announced 170,000 square metre Singapore data centre, as well as its other Singapore operations, over the next 20 years.

Sembcorp is a homegrown Singapore power player with over two decades in the business. It is the only established power gentailer (generation affiliated retailer) in the country to offer renewable energy, and has one of Singapore’s largest solar power portfolios. Sembcorp will serve Facebook’s renewable energy needs through offsite solar panels totaling 50 MWp in capacity. These panels will be installed on close to 900 rooftops in the land-scarce island state, between the end of this year and 2020.

Koh Chiap Khiong, Head of Sembcorp’s energy business in Singapore, Southeast Asia and China, said, “At Sembcorp, our goal is to provide energy that makes a difference. One key way is through providing clean energy to companies and our community. Against this background, Sembcorp is very honoured to become Facebook’s first renewable energy partner in Asia, with our new 20-year solar power deal.  This demonstrates our ability to offer clients a strong value proposition to support their power needs and meet their environmental goals at the same time.  We look forward to working with more companies for such solutions in the future.”

Commenting on the deal, Neil McGregor, Group President & CEO of Sembcorp Industries, said, “Our deal with Facebook is an example of how Sembcorp is aligning its business to the future. As our world moves towards renewables and lower-carbon energy, there is an increasing demand for solutions that enable businesses to achieve growth while managing their impact on the environment. Sembcorp is actively working with companies in this, and supporting their efforts towards this dual objective.”

Bobby Hollis, Head of Global Energy at Facebook, also welcomed the deal.  “This agreement represents our first step towards supporting our Singapore Data Center and local offices with 100% renewable energy,” he said.  “We are thrilled to have Sembcorp as our partner on this project and excited to see the continued acceleration in the growth of the renewable energy market in Singapore.”

Sembcorp has a strong commitment to sustainability. The company has been steadily growing its renewable energy business, and now has over 2,500 megawatts of wind and solar power projects across Singapore, China and India. Earlier this year the company announced ambitious targets to double its renewables portfolio and reduce its carbon intensity by around 25% by 2022.

This contract involves the sale of 100% of the renewable energy attributes from the surplus power generated by Sembcorp’s 50 MWp of solar panels. These sales will commence in tandem with the installation of the rooftop panels between end-2018 and 2020. The contract is not expected to have a material impact on the earnings per share and net asset value of Sembcorp Industries for the financial year ending December 31, 2018.

- END -

For analysts’ and media queries, please contact:

Ling Xin Jin (Ms)
Senior Manager 
Group Strategic Communications & Sustainability
DID: +65 6723 3384
Email: [email protected] 

Archanaa N. Raja (Ms) 
Group Strategic Communications & Sustainability
DID: +65 6723 3186
Email: [email protected]

Sembcorp Industries is a leading utilities, marine and urban development group, present across five continents.

As an integrated energy player, Sembcorp is poised to benefit from the global energy transition. With a strong track record in developing and developed markets, it provides solutions across the energy and utilities value chain, with a focus on the Gas & Power, Renewables & Environment, and Merchant & Retail sectors. It has a balanced energy portfolio of over 12,000 megawatts, including thermal power plants, renewable wind and solar power assets, as well as biomass and energy-from-waste facilities. In addition, Sembcorp is a world leader in offshore and marine engineering, as well as an established brand name in urban development.

Sembcorp Industries has total assets of over S$22 billion and over 7,000 employees. Listed on the main board of the Singapore Exchange, it is a component stock of the Straits Times Index, several MSCI and FTSE indices, as well as the SGX Sustainability Leaders Index and the Dow Jones Sustainability Asia Pacific Index.

For more on sustainability at Sembcorp, please go to http://www.sembcorp.com/en/sustainability/