With natural gas being the dominant fuel for electricity generation in Singapore, the gas industry has been restructured with a competitive market framework to support the reform of the electricity industry.
The new gas industry structure has been put in place since 15 Sep 2008. As part of the restructuring, the gas transport business has been separated from the competitive business of gas import and retail.
PowerGas Ltd, the gas transporter that owns the gas pipeline network, is not allowed to participate in the gas import and retail businesses. SembCorp Gas Pte Ltd, which had diversified interests in gas transport, import and retail businesses, exited the gas transport business and transferred its gas pipelines to PowerGas Ltd via a statutory transfer under Section 98 of the Gas Act on 15 Sep 2008.
The structure of the new gas industry is shown in the following diagram.
Currently, the gas system in Singapore consists of two separate gas pipeline networks namely, the town gas pipeline network and the natural gas pipeline network. The town gas pipeline network serves about 50% of the households in Singapore. Town gas, which is used mainly for cooking and water heating by domestic and commercial customers, is manufactured and retailed by City Gas Pte Ltd.
Natural gas is imported into Singapore as piped natural gas from Malaysia and Indonesia via four offshore pipelines. Singapore also imports liquefied natural gas (LNG) from various countries across the world. See table below for details.
|Source Country / Location||Importer / Retailer||Purpose|
|Malaysia||Senoko Energy Ltd (Importer)||Power generation|
|Malaysia||Keppel Gas Pte Ltd (Importer)||Mainly for power generation|
|Indonesia, West Natuna||Sembcorp Gas Pte Ltd (Importer and Retailer)||Power generation and industrial use|
|Indonesia, South Sumatra||Gas Supply Pte Ltd (Importer)
Gas Supply Pte Ltd & City Gas Pte Ltd (Retailers)
|Power generation and industrial use|
|BG Portfolio||BG Singapore Gas Marketing Pte Ltd||Power generation and industrial use|