# Data Centre Energy Demand and New Generation Capacity, Assessment of Overseas Data Processing via Optical Fibre, and Options for Regional Network Financing

- Date: 2026-09-09
- Added: 2026-09-26
- Who: Mr Kenneth Tiong Boon Kiat · Mrs Josephine Teo
- Source: https://sprs.parl.gov.sg/search/#/sprs3topic?reportid=written-answer-24586
- sgai: https://sgai.md/debates/written-answer-24586/
- License: sgai-authored content (summaries, translations, analysis) is CC BY 4.0 — attribute and link to sgai.md. Verbatim source text (Hansard, speeches, transcripts, policy documents) remains © its original rights holders and is reproduced for reference only. Terms: https://github.com/meltflake/sgai/blob/main/DATA-LICENSE.md

## Why it matters

Singapore's peak electricity demand is projected to rise from 8.2 GW to as much as 11.9 GW between 2025 and 2032, but the reply gave no separate share for data centres.

## Summary

Workers' Party MP Kenneth Tiong Boon Kiat asked the Minister for Digital Development and Information what proportion of the new generation capacity sought by the Energy Market Authority (EMA) is attributable to projected data centre demand; whether processing data overseas and returning results via optical fibre has been assessed as an alternative and with what conclusion; and if so, whether a regional optical-fibre network with ASEAN Power Grid-style financing will be advanced. Minister Josephine Teo replied that data centre compute capacity in Singapore is crucial for the digital economy and AI developments, and that Singapore's data connectivity to many countries, including subsea cables running on optical fibre, enables cross-border data flows in and around ASEAN, letting companies tap compute beyond Singapore. EMA plans sufficient generation capacity for overall projected demand: from 2025 to 2032, peak electricity demand is projected to grow from 8.2 GW up to 11.9 GW, accounting for growth in energy-intensive sectors such as semiconductors and data centres.

## Key points

- Compute capacity provided by data centres in Singapore is crucial for supporting Singapore's digital economy and AI developments.
- Singapore's data connectivity to many countries, including subsea cables running on optical fibre, enables cross-border data flows in and around ASEAN, letting companies tap compute capacity beyond Singapore.
- The Energy Market Authority plans sufficient generation capacity to meet Singapore's overall projected electricity demand.
- From 2025 to 2032, peak electricity demand is projected to grow from 8.2 GW up to 11.9 GW, accounting for growth in energy-intensive sectors such as semiconductors and data centres.

## Full text

© Parliament of Singapore — reproduced for reference only.

34 Mr Kenneth Tiong Boon Kiat asked the Minister for Digital Development and Information (a) what proportion of new generation capacity sought by the Energy Market Authority (EMA) is attributable to projected data centre demand; (b) whether processing data overseas and returning the results via optical-fibre has been assessed as an alternative and what was concluded; and (c) if so, whether a regional optical-fibre network with financing arrangements equivalent to the ASEAN Power Grid will be advanced to enable this.

Mrs Josephine Teo : The compute capacity provided by data centres in Singapore is crucial for supporting Singapore's digital economy and artificial intelligence developments. Our data connectivity to many countries, including through subsea cables running on optical fibre, enables cross-border data flows in and around the Association of Southeast Asian Nations region. This allows companies to tap on compute capacity beyond Singapore.

To support Singapore's growth, the Energy Market Authority (EMA) plans for sufficient generation capacity to meet Singapore's overall projected electricity demand. 1 From 2025 to 2032, Singapore's peak electricity demand is projected to grow from 8.2 gigawatt up to 11.9 gigawatt. This accounts for growth in energy-intensive sectors, such as semi-conductors and data centres.