DBS Bank has provided a SGD 40 million loan to Sembcorp Industries (Sembcorp) to set up a 60 MWp floating solar photovoltaic (PV) system on Tengeh Reservoir in Tuas, Singapore. The DBS bank is the sole financier for the floating solar project. The project is expected to be commissioned in 2021. Once completed, the project will be Singapore’s first large-scale floating solar PV system and one of the largest floating solar PV systems in the world. The project was awarded by the Public Utilities Board of Singapore in February 2020. The project will be able to offset about 32 kilotonnes of carbon emissions annually which is equivalent to taking approximately 7,000 cars off the roads. The floating solar project is in line with Singapore’s target of setting up at least 2 GWp of solar capacity by 2030.
With this project, Sembcorp’s solar portfolio in Singapore will reach approximately 240 MWp. Since 2018, DBS Bank has completed 29 renewable energy projects amounting to around SGD 3.6 billion across Asia. The bank has arranged finance for various floating solar, rooftop solar, onshore and offshore wind, hydropower, and geothermal projects. Moreover, DBS Bank is also the first Asian bank to join the RE 100 initiative. With this, it has committed to utilize 100 per cent renewable energy across all its markets, with an interim target of using 100 per cent renewable energy in Singapore by 2030.