Sembcorp, Equinix sign long-term PPAs in Singapore

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Sembcorp, a Singaporean energy company, has signed two long-term PPAs with subsidiaries under US data center giant Equinix. Sembcorp’s wholly owned subsidiary, Sembcorp Power, will supply 105 MW of power to Equinix for its data centers in Singapore, for a period of up to 18 years.

The capacity will consist of 75 MW of solar from Sembcorp’s renewable energy portfolio and 30 MW from its broader portfolio. The deals are Equinix’s first renewable energy PPAs in Singapore.

Equinix Executive Vice President of Global Operations Raoul Abdel said the agreements contribute to the company’s global goal of 100% clean and renewable coverage by 2030. The PPAs will be accretive to Sembcorp’s earnings in the financial year ending Dec. 31, 2024.

Sembcorp said the PPAs increase the long-term contracted capacity for its gas-fired power generation portfolio in Singapore from 74% to 77%. The company is currently the largest solar energy supplier in the city state, with a portfolio of about 727 MW.

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