Singapore's Solar Investments Shielded from Strait of Hormuz Crisis
Singapore's investment in solar energy has saved an estimated US$97 million (RM310 million) in fossil-fuel import costs over five months in early 2026, according to a report by the Centre for Research on Energy and Clean Air (CREA).
The savings came from avoided natural gas imports, including US$40 million in additional costs that Singapore would have incurred due to the premium on gas caused by the Strait of Hormuz crisis. CREA analyst Isaac Levi attributed the benefits to Singapore's expansion of solar power.
However, the report noted that these savings were small compared to the broader cost of Singapore's reliance on imported fossil fuels. The country incurred US$8.1 billion in additional gross fossil-fuel costs during the six months following the outbreak of the US-Iran war.