'Keep calm and carry on': Tan See Leng says Indonesia gas cut unlikely to affect electricity prices for now
Minister for Energy, Trade and Industry Tan See Leng stated that Indonesia's decision to cut natural gas exports to Singapore should not affect electricity prices immediately. Speaking after a conference, he explained that Singapore uses about a trillion billion British thermal units per day for power generation. The country's total daily intake is approximately 1.35 trillion British thermal units. The Indonesian cut will reduce supply by 17 billion British thermal units. This amount represents less than two per cent of the total needs of Singapore. The minister expects short-term prices to remain largely unaffected.
Indonesia's cutting of exports of natural gas to Singapore is not expected to affect electricity prices in the short term, Minister for Energy, Trade and Industry (Energy and Industry) Tan See Leng said on Sunday (Oct 25).Dr Tan was speaking with the media after the People's Action Party (PAP) Awards and Conference 2026.He explained that Singapore uses about a trillion billion British thermal units per day (BBTUD) for power generation — in total, the country takes about 1.35 trillion BBTUD.Comparatively, the cut by Indonesia will result in a reduction of 17 billion BBTUD, or less than two per cent of Singapore's needs."In the short term, the prices would not really be affected that much," Dr Tan said. "In fact, if anything at all, we should be looking at the world prices because a lot of our gas... is actually pegged to the movement of some of the key global index itself."