Energy intensity is defined as the amount of energy needed to generate a unit of gross domestic product (GDP). It is not the same as energy efficiency.
Compared to countries with low energy intensities, Singapore’s higher energy intensity is largely due to the use of energy in our manufacturing sector. However, we have sought to improve our energy efficiency in several ways, such as introducing regulations for industries as well as appliances sold to households.
Singapore is alternative-energy disadvantaged. Renewable sources prominent in other countries such as hydroelectric, geothermal, and wind energy, cannot be harnessed effectively in Singapore due to our geographical circumstances – generally flat, a small land area and low wind speeds.
[1] This grant component is supported under EDB’s Productivity Grant (Energy Efficiency).