SembCorp to buy power plants

SembCorp Industries, a governmental-linked diversified conglomerate, plans to bid for the city-state's three power plants to be sold by Singapore Power, the Straits Times reported Tuesday.

"We have always wanted to be in the power industry," said SembCorp's chief executive officer Wong Kok Siew. "We will definitely bid for generation companies."

Singapore Power, which holds a monopoly in Singapore over power transmission, distribution and supply, and a dominant position in generation, will sell off the power plants as part of plans to liberalize the industry.

SembCorp's chief operating officer Low Sin Leng said the group was "keen on all three."

"In countries where the power industry is liberalized, you do see supply companies ending up with generation companies," she said.

SembCorp and its partners are now building a generation plant that will produce electricity and steam from natural gas supplied from Indonesia. (*)