Regional LNG: Singapore GasCo established to streamline gas procurement for power sector

By Romel S. Gurky

Singapore GasCo Pte Ltd (Singapore GasCo) has officially been established as a new entity to centralize the procurement and supply of natural gas to the power generation sector in Singapore. The move aims to improve efficiencies, negotiate better contract terms, and ensure a stable and competitive energy supply as part of Singapore's ongoing energy transition. Singapore GasCo and Singapore’s Energy Market Authority said in a joint statement on Wednesday.

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Natural gas currently accounts for approximately 95% of Singapore’s electricity generation. Despite the country’s goal of achieving net-zero emissions by 2050, natural gas will remain a key part of the energy mix during the transition, playing a vital role in ensuring energy security and supporting the shift to cleaner energy sources.

As a fully government-owned entity, Singapore GasCo will centralize the procurement process, leveraging economies of scale to negotiate favorable gas contracts. The company will source natural gas from a variety of suppliers and enter into longer-term contracts to provide more stable prices and secure supply for power generation companies.

Alan Heng, a seasoned industry veteran with over 37 years of experience in the energy sector, has been appointed as the CEO of Singapore GasCo. Prior to his appointment, Heng served as the Group CEO of Pavilion Energy until March 2025 and held various senior positions at ExxonMobil over his 23-year career.

Editing by Alexander Ginting