Regulatory woes dim Singapore's bright solar power prospects

The lack of a feed-in tariff is a key threat.

Singapore’s solar energy market is expected to grow by leaps and bounds over the next few years, but the country’s prospects are dimmed by a relatively less favourable regulatory environment for renewable energy.

According to BMI Research, the lack of a feed-in tariff for solar technology in Singapore could lead companies to shift their focus to more attractive renewables markets in the region such as Malaysia, the Philippines, and Indonesia.

Furthermore, Singapore’s solar energy growth potential is capped due to the limited land availability in the country.

“High electricity prices, decreasing solar technology costs and a growing number of household installation options are driving the uptake of residential solar systems in Singapore. However, the potential is capped given the limited land space in the country and the absence of a feed-in tariff, which could push some companies to invest in other, more attractive South East Asian renewables markets,” said the report.

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