Singapore has selected Keppel Energy, Sembcorp Utilities and Tuas Power Generation to build a market for imported biomethane, moving its renewable-gas pilot from a proposal towards delivery. The three companies will bring together supply and customer demand under a 300 MW regulatory sandbox.
The appointments were announced on October 23, with first supplies expected by the end of 2028. The Business Times reported, citing the Economic Development Board (EDB), that the scheme will run for 15 years and serve data centres and industrial manufacturers.
How the Singapore biomethane pilot is divided
Keppel Energy and Sembcorp Utilities are each expected to handle biomethane equivalent to up to 120 MW of power generation. Tuas Power Generation will account for the remaining 60 MW within the pilot’s 300 MW limit. Customers could receive the fuel itself or electricity generated from it.
These figures describe the power-generation equivalent of the fuel supply. They are not annual biomethane volumes, nor do they mean that three new power stations have been approved.
Keppel plans to use existing gas-fired power assets
In its October 23 announcement, Keppel confirmed its appointment to aggregate, import and sell biomethane for 15 years. It plans to manage the renewable gas alongside natural gas in a combined fuel portfolio for its combined-cycle gas turbines on Jurong Island, while also supplying end users.
Keppel said the resulting lower-carbon electricity could serve manufacturers and data centre operators, including its own connectivity business. The company’s proposed role therefore covers both fuel procurement and customers for the power produced.
Why upgraded biogas fits Singapore’s gas network
The Energy Market Authority’s original sandbox factsheet, published in October 2025, explains the technical rationale. Biomethane is made by upgrading biogas from organic waste or residues to near-pure methane. Its composition allows it to replace fossil-derived methane in existing gas infrastructure and combined-cycle turbines.
The regulator said the sandbox would test commercial viability and operating arrangements before deployment beyond its initial 300 MW scope. The latest appointments advance that process; they do not establish that commercial imports have already begun.
A new demand signal for regional renewable gas
The Singapore pilot adds a potential import market alongside domestic biomethane development elsewhere in Southeast Asia. Bioenergy Business recently reported on Toyota Tsusho and KIS Group’s Indonesian biomethane venture, which plans to upgrade palm oil mill effluent-derived biogas for industrial customers.
That Indonesian project has not been identified in the announcements reviewed as a supplier to Singapore’s sandbox. The separate initiatives nevertheless illustrate the two sides of a developing market: producers upgrading waste-derived gas and customers seeking alternatives to fossil natural gas.
For the Singapore pilot, the next milestones to watch are named supply contracts, customer agreements and the first deliveries against the end-2028 target. The appointed companies’ ability to connect those elements will be central to demonstrating a workable import market.
