Singapore, Kuala Lumpur, 17 October 2025 - Tenaga Nasional Berhad (TNB), SP Group and Singapore Energy Interconnections (SGEI), signed a Joint Development Agreement (JDA) today to conduct a full feasibility study for the development of a second electricity interconnection between Peninsular Malaysia and Singapore. This second interconnection, with a potential capacity of up to 2,000 megawatts (MW), aims to enhance energy cooperation between the two countries and expand the capacity for cross-border electricity trade. The interconnection is targeted to commence operations by 2030.

The signing ceremony was held on the sidelines of the 43^rd ASEAN Ministers on Energy Meeting (AMEM) in Kuala Lumpur, Malaysia. The JDA was signed by Datuk Ir. Megat Jalaluddin Bin Megat Hassan, President / Chief Executive Officer of TNB, Mr Jimmy Khoo, Chief Executive Officer of SP PowerGrid and Mr Ong Teng Koon, Chief Executive Officer of SGEI. Witnessing the signing ceremony was YAB Datuk Amar Haji Fadillah bin Haji Yusof, Malaysia’s Deputy Prime Minister and Minister of Energy Transition and Water Transformation and Dr Tan See Leng, Singapore’s Minister-in-charge of Energy and Science & Technology.

With the JDA, all three parties will commence a full feasibility study to ascertain the technical and commercial viability of the second interconnection.  The study will build on the successful pre-feasibility study conducted by SP Group and TNB that was completed in May 2025, which established that there were no technical barriers in implementing a second interconnection.

“TNB, Malaysia’s leading electricity utility, is committed to strengthening regional energy cooperation in support of the ASEAN Power Grid (APG). The upcoming feasibility study for the second Malaysia–Singapore interconnection is a crucial step towards expanding cross-border electricity trade. This initiative not only strengthens energy security but also supports Malaysia’s National Energy Transition Roadmap by enabling greater integration of renewable energy,” said Datuk Ir. Megat Jalaluddin Bin Megat Hassan, President/Chief Executive Officer of TNB.

“As Singapore’s grid operator, SP Group remains committed to strengthening our power infrastructure to support regional grid connectivity. This study will be the conduit for closer collaboration with Malaysia to enhance energy security through diversified low carbon energy sources,” said Mr Stanley Huang, Group Chief Executive Officer of SP Group.

"Singapore Energy Interconnections is pleased to partner with TNB and SP Group to conduct a full feasibility study for a second interconnection to strengthen energy connectivity between Singapore and Malaysia. This collaboration reflects our shared commitment to enable electricity trade and greater grid resilience between both countries," said Mr Ong Teng Koon, Chief Executive Officer of SGEI.    

The JDA marks strong progress in the collaboration between Malaysia and Singapore to strengthen bilateral ties and regional power connectivity. The first interconnection between the two countries was established in 1983 with the primary purpose of mutual support, and upgraded in 2022, accommodating bi-directional electricity flows to 1,000 MW. It currently supports two cross-border electricity trade projects – the Lao-PDR-Thailand-Malaysia-Singapore Power Integration Project (LTMS-PIP) and the Energy Exchange Malaysia (ENEGEM) pilot project. The second interconnection will advance the APG vision by strengthening regional grid connectivity and greater cross-border electricity trade.

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