Sembcorp to Quadruple Renewables Capacity to 10 GW by 2025
Singapore-based Sembcorp Industries Ltd (SGX:U96) today unveiled a strategic plan to shift its portfolio from brown to green that includes quadrupling renewable energy capacity to 10 GW by 2025 from 2.6 GW in 2020.
The company, which following the demerger with Sembcorp Marine in September 2020 is a focused energy and urban business, currently has a gross installed renewables capacity of 2,641 MW and a further 673 MW under development. The portfolio includes 2,419 MW of wind in India and China, 775 MW of solar in India, Singapore and Vietnam and 120 MWh of energy storage in the UK.
Sembcorp plans to expand its renewables portfolio through organic growth, selective mergers and acquisitions (M&A) and partnerships, and capital recycling.
The company wants its sustainable solutions portfolio to account for 70% of profit by 2025, up from about 40% in 2020. The latter figure includes 11% from renewables and 27% from integrated urban solutions — urban, water, and waste and waste-to-resource activities.
Sembcorp will aim to grow its renewable energy portfolio at a compounded annual growth rate (CAGR) of 30% and its integrated urban solutions portfolio at a CAGR of 10% by 2025.
“With our proven track record across Asia and capabilities across various segments of the renewables and urban solutions sectors, Sembcorp is well-positioned to be a leading pan-Asian provider of sustainable solutions,” stated group president and chief executive Wong Kim Yin.
The company has committed to halving its greenhouse gas (GHG) emissions by 2030, from a 2010 baseline, and achieving net-zero emissions by 2050.
Source: renewablesnow
