SP GROUP EXPANDS MARINA BAY DISTRICT COOLING NETWORK WITH MORE DEVELOPMENTS AND NEW SATELLITE PLANTS
Singapore, 26 May 2023 – SP Group (SP) announced that it has signed Letters of Intent to provide energy-efficient district cooling services to four developments in the Marina Bay area. These four developments are:
SP’s Marina Bay district cooling network – the world’s largest underground district cooling network – will increase its installed cooling capacity by 2,000 refrigeration tons (RT) to 75,000 RT by 2027. SP will also deploy an additional two kilometres of underground pipes, extending from the Marina Bay district cooling plant to the satellite plant at SP’s electricity substation at George Street. This extension of the piping infrastructure along the Singapore Riverfront and Marina Bay area will enable more buildings to easily connect and access chilled water supply from the Marina Bay district cooling network. The network is situated in the Common Services Tunnel that has been planned and built by the Urban Redevelopment Authority. This further anchors Marina Bay’s position in driving environmental sustainability at a district level, accelerating the decarbonisation of Singapore’s core financial district and its surrounding vicinity.
SP also signed Memoranda of Understanding (MOU) with City Developments Limited (CDL) and Singapore Land Group (SingLand) to design, build, own and operate satellite plants within the upcoming Central Mall and Central Square redevelopment project, and Marina Square respectively. When operational in 2027, both satellite plants will have a combined cooling capacity of up to 15,000 RT and augment the Marina Bay district cooling network.
Overall, the Marina Bay District Cooling network will operate at a total capacity of up to 90,000 RT. Subscribing to the sustainable cooling solution is expected to help developments save up to 20 per cent in cooling-related energy consumption. This enables a reduction in carbon emissions of 25,000 tonnes annually for the central district, equivalent to removing 22,700 cars off our roads.
SP’s Group Chief Executive Officer, Mr Stanley Huang, said, “As Southeast Asia’s largest district cooling operator, we aim to empower the green energy transition of buildings and cities with innovative and sustainable cooling solutions. By designing an efficient piping network and establishing satellite plants, we can expand the area served by Marina Bay district cooling network and help Singapore’s central business district gain access to a reliable, energy- and cost-efficient cooling solution. This will drive the adoption of sustainable energy solutions for greener buildings towards Singapore’s 2050 net-zero target.”
Besides a reliable supply of chilled water from the Marina Bay district cooling network, which has achieved zero supply interruptions since the operations began in 2006, new developments and potential redevelopment projects will enjoy a lower initial investment cost, compared to a conventional air-conditioning system, without having to invest in their own chillers. The savings on equipment, operating and maintenance costs will also reduce the total cost of ownership by up to 15 per cent. Having centralised chiller plants also frees up prime space for other commercial or lifestyle purposes, potentially increasing asset yield for building owners.
By 2027, SP will be operating a total 180,500 RT of cooling capacity through its district cooling networks in Singapore, extending its lead as the biggest provider of district cooling solutions in Southeast Asia. In addition to Marina Bay, SP is providing district cooling solutions to residents at Tengah estate via a centralised cooling system, deploying distributed district cooling to a brownfield development at Tampines and establishing Singapore’s largest industrial district cooling system at STMicroelectronics.
In April 2022, SP announced the expansion of its Marina Bay district cooling network to include five developments – 8 Shenton Way, IOI Central Boulevard Towers, Newport Plaza (80 Anson Road), Marina Bay Sands Integrated Resort Expansion and NS Square. The latest expansion also strengthens SP’s ambition to be the largest Demand Response Aggregator in the Energy Market Authority (EMA)’s demand side management programmes, where SP aggregates electricity load curtailment on behalf of participating electricity-intensive customers through its district cooling operations. This helps to balance electricity demand and supply on the national power grid at critical times, while facilitating the integration of more renewables, and allowing customers to benefit from system savings.