{"id":42668,"date":"2026-04-08T11:19:40","date_gmt":"2026-04-08T03:19:40","guid":{"rendered":"https:\/\/sgbuzz.com\/?p=42668"},"modified":"2026-04-08T11:19:40","modified_gmt":"2026-04-08T03:19:40","slug":"spore-to-up-fuel-reserves-shanmugam","status":"publish","type":"post","link":"https:\/\/sgbuzz.com\/?p=42668","title":{"rendered":"S&#8217;pore to up fuel reserves: Shanmugam"},"content":{"rendered":"<p><br \/>\n<\/p>\n<div>\n<p class=\"font-body-baseline-regular text-primary\" data-testid=\"article-paragraph-annotation-test-id\"><a href=\"https:\/\/www.straitstimes.com\/live-us-trump-israel-iran-attack?ref=inline-article\" rel=\"nofollow noopener\" class=\"gap-x-04 items-center inline text-primary-60 select-auto\" aria-label=\"link\" target=\"_blank\" data-testid=\"custom-link\"><span class=\"font-body-baseline-regular inline\" data-testid=\"paragraph-test-id\"><b>Follow our live coverage here.<\/b><\/span><\/a><\/p>\n<p class=\"font-body-baseline-regular text-primary\" data-testid=\"article-paragraph-annotation-test-id\">SINGAPORE \u2013 <!-- -->Singapore plans to increase its fuel reserves as the <a href=\"https:\/\/www.straitstimes.com\/world\/middle-east\/us-israeli-attack-on-iran-what-we-know-so-far?ref=inline-article\" rel=\"noopener\" class=\"gap-x-04 items-center inline text-primary-60 select-auto\" aria-label=\"link\" target=\"_blank\" data-testid=\"custom-link\"><span class=\"font-body-baseline-regular inline\" data-testid=\"paragraph-test-id\">Middle East conflict<\/span><\/a> continues, but oil prices are likely to remain high even after hostilities cease, said Coordinating Minister for National Security K. Shanmugam.<\/p>\n<p class=\"font-body-baseline-regular text-primary\" data-testid=\"article-paragraph-annotation-test-id\">If the conflict is prolonged, then much sharper increases in electricity prices are expected.<\/p>\n<p class=\"font-body-baseline-regular text-primary\" data-testid=\"article-paragraph-annotation-test-id\">And while stockpiles are maintained for essential food types, Singaporeans should be prepared for foods from some countries to be unavailable, and should be flexible in choosing alternatives, he said in Parliament.<\/p>\n<p class=\"font-body-baseline-regular text-primary\" data-testid=\"article-paragraph-annotation-test-id\">The long-term groundwork laid by Singapore and the steps taken since hostilities escalated have helped the country remain relatively stable despite disruptions to fuel and energy supplies, Mr Shanmugam, who is also Home Affairs Minister, told the House in a ministerial statement on April 7. <\/p>\n<p class=\"font-body-baseline-regular text-primary\" data-testid=\"article-paragraph-annotation-test-id\">The country has not had to draw on its fuel reserves or implement fuel rationing measures yet, he noted. It has also taken steps to reduce risks to disruption of supplies to meet its electricity needs.<\/p>\n<p><iframe loading=\"lazy\" title=\"Singapore\u2019s plans to increase fuel reserves will be costly but necessary: Shanmugam\" width=\"500\" height=\"281\" src=\"https:\/\/www.youtube.com\/embed\/HOUYhaVlWw0?feature=oembed\" frameborder=\"0\" allow=\"accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share\" referrerpolicy=\"strict-origin-when-cross-origin\" allowfullscreen><\/iframe><\/p>\n<p class=\"font-body-baseline-regular text-primary\" data-testid=\"article-paragraph-annotation-test-id\">But if supply disruptions increase, and if more suppliers are unable to provide fuel or gas, then potential disruptions to domestic energy and electricity supply cannot be ruled out, he said. <\/p>\n<p class=\"font-body-baseline-regular text-primary\" data-testid=\"article-paragraph-annotation-test-id\">While this remains a low-probability scenario for now, the authorities are continuing to monitor developments closely. <\/p>\n<p class=\"font-body-baseline-regular text-primary\" data-testid=\"article-paragraph-annotation-test-id\">Mr Shanmugam pointed out that electricity prices have been cushioned by several factors, including the diversity of sources the country draws from, and the fact that Singapore\u2019s power plants can switch from natural gas to diesel when needed. Most, or 95 per cent, of the Republic\u2019s electricity is generated from natural gas. <\/p>\n<p class=\"font-body-baseline-regular text-primary\" data-testid=\"article-paragraph-annotation-test-id\">The Energy Market Authority also strengthened regulatory requirements for electricity retailers in 2023 to ensure <!-- -->they<!-- --> are sufficiently hedged and will be better able to handle an extended period of gas price volatility.<\/p>\n<p class=\"font-body-baseline-regular text-primary\" data-testid=\"article-paragraph-annotation-test-id\">Singapore is planning to increase its fuel reserves, said Mr Shanmugam, adding: \u201cIt will be costly, but we think it necessary.\u201d<\/p>\n<p class=\"font-body-baseline-regular text-primary\" data-testid=\"article-paragraph-annotation-test-id\">The nation\u2019s fuel reserves<!-- --> <!-- -->consist of a mix<!-- --> <!-- -->of natural gas and diesel, with some owned by the Government and others by power generation companies.<\/p>\n<p class=\"font-body-baseline-regular text-primary\" data-testid=\"article-paragraph-annotation-test-id\">\u201cBut prices will go up,\u201d he added,<!-- --> <!-- -->pointing out that even though the cost of gas accounts for almost half of the regulated tariff, this has so far been only partially transmitted to the tariff price. <\/p>\n<p class=\"font-body-baseline-regular text-primary\" data-testid=\"article-paragraph-annotation-test-id\">\u201cIf the conflict is prolonged, then we have to expect much sharper increases in electricity prices.\u201d<\/p>\n<p class=\"font-body-baseline-regular text-primary\" data-testid=\"article-paragraph-annotation-test-id\">Mr Shanmugam\u2019s statement followed those by Deputy Prime Minister and Trade and Industry Minister Gan Kim Yong, as well as Acting Transport Minister and Senior Minister of State for Finance Jeffrey Siow, all discussing measures to address the impact of the conflict on Singaporeans.<\/p>\n<p class=\"font-body-baseline-regular text-primary\" data-testid=\"article-paragraph-annotation-test-id\">Mr Shanmugam laid out the work of the <a href=\"https:\/\/www.straitstimes.com\/singapore\/what-is-the-homefront-crisis-ministerial-committee-spores-apex-body-during-national-crises?ref=inline-article\" rel=\"noopener\" class=\"gap-x-04 items-center inline text-primary-60 select-auto\" aria-label=\"link\" target=\"_blank\" data-testid=\"custom-link\"><span class=\"font-body-baseline-regular inline\" data-testid=\"paragraph-test-id\">Homefront Crisis Ministerial Committee (HCMC)<\/span><\/a>, which he chairs. It is the top steering body for national crisis management and has been looking into issues including energy, food and supply chain resilience, security developments, foreign affairs, and support for Singaporeans.<\/p>\n<p class=\"font-body-baseline-regular text-primary\" data-testid=\"article-paragraph-annotation-test-id\">Over the past month, Mr Shanmugam said, the HCMC and Homefront Crisis Executive Group \u2013 which coordinates across government agencies to anticipate potential emergency scenarios, ensure the necessary contingency plans are prepared, and respond to the impact of any home-front crisis or emergency \u2013 have met a few times. <\/p>\n<p class=\"font-body-baseline-regular text-primary\" data-testid=\"article-paragraph-annotation-test-id\">On fuel and energy security, he noted that while several countries have announced export restrictions on fuel or implemented rationing measures, Singapore has not done so. <!-- -->So far, there has been no need to do so, he said. <\/p>\n<p class=\"font-body-baseline-regular text-primary\" data-testid=\"article-paragraph-annotation-test-id\">As the result of a decades-long strategy, Singapore is \u201cdeeply connected to global flows of energy\u201d, giving it access to diverse sources of energy and fuel supplies, he said. <\/p>\n<p class=\"font-body-baseline-regular text-primary\" data-testid=\"article-paragraph-annotation-test-id\">It is the world\u2019s third-largest oil trading hub and sixth-largest refinery export hub \u2013 and continues to have access to crude oil. Singapore has also been meeting its domestic needs and international obligations for fuel.<\/p>\n<p class=\"font-body-baseline-regular text-primary\" data-testid=\"article-paragraph-annotation-test-id\">\u201cHowever, we do not know how long the disruptions will last,\u201d he said. \u201cNo one can say what the situation will be like if there are more serious disruptions, and they last longer.\u201d<\/p>\n<p class=\"font-body-baseline-regular text-primary\" data-testid=\"article-paragraph-annotation-test-id\">Singapore has secured crude oil supplies from alternative sources, albeit at a higher cost, with Brent crude \u2013 the global oil benchmark \u2013 surging as much as 70 per cent since Feb 28, when hostilities heightened. More than half of the nation\u2019s total crude oil imports come from the Middle East. <\/p>\n<p class=\"font-body-baseline-regular text-primary\" data-testid=\"article-paragraph-annotation-test-id\">Even as Singaporeans are feeling the impact of higher prices as fuel and energy costs rise, the minister warned, prices are likely to stay high even after hostilities cease. This is because damage to infrastructure in the Middle East, such as large oil facilities in Saudi Arabia and Bahrain, will take time to fix. <\/p>\n<p class=\"font-body-baseline-regular text-primary\" data-testid=\"article-paragraph-annotation-test-id\">\u201cEven if the Strait of Hormuz fully reopens tomorrow, global oil and gas export capacity will not return to pre-conflict levels so quickly,\u201d he said, noting that the authorities are concerned about broader disruptions to global supply chains affecting goods critical to Singapore\u2019s economy and essential services. Many other critical supplies pass through the Strait of Hormuz, including helium and aluminium. <\/p>\n<p class=\"font-body-baseline-regular text-primary\" data-testid=\"article-paragraph-annotation-test-id\">\u201cWe can no longer rely on such supplies in the same way,\u201d he said. <\/p>\n<p class=\"font-body-baseline-regular text-primary\" data-testid=\"article-paragraph-annotation-test-id\">The Ministry of Trade and Industry is monitoring the situation closely and working with the relevant industries, he added.<\/p>\n<p class=\"font-body-baseline-regular text-primary\" data-testid=\"article-paragraph-annotation-test-id\">On Singapore\u2019s energy security, he said the Republic will continue to play a role as a refining hub.<\/p>\n<p class=\"font-body-baseline-regular text-primary\" data-testid=\"article-paragraph-annotation-test-id\">\u201cWe remain committed to de-carbonising our economy,\u201d he said, but added that the nation\u2019s path to net zero will depend on technological breakthroughs and sustained international cooperation. <\/p>\n<p class=\"font-body-baseline-regular text-primary\" data-testid=\"article-paragraph-annotation-test-id\">\u201cFor now, the priority worldwide is energy security. Countries everywhere need to keep the lights on.\u201d<\/p>\n<p class=\"font-body-baseline-regular text-primary\" data-testid=\"article-paragraph-annotation-test-id\">In the medium to long term, the Republic is assessing other sources of energy to diversify its energy sources and fuel mix \u2013 including nuclear energy as a potential source. \u201cBut adopting nuclear energy requires very serious consideration,\u201d he said, adding that dedicated teams in the Government will continue to study this \u201ccarefully and rigorously\u201d. <\/p>\n<p class=\"font-body-baseline-regular text-primary\" data-testid=\"article-paragraph-annotation-test-id\">On food security, Mr Shanmugam said the Government maintains strategic food stockpiles that will help mitigate the impact of unforeseen supply disruptions \u2013 and Singapore is relooking supply chains to strengthen them. <\/p>\n<p class=\"font-body-baseline-regular text-primary\" data-testid=\"article-paragraph-annotation-test-id\">\u201cHowever, we are only able to maintain stockpiles of essential food types,\u201d he said, adding that food supplies from some countries may become unavailable, and Singaporeans should exercise flexibility in choosing alternatives.<\/p>\n<p class=\"font-body-baseline-regular text-primary\" data-testid=\"article-paragraph-annotation-test-id\">As for questions that have been raised about the extent of Singapore\u2019s fuel reserves and stockpiles, Mr Shanmugam said these are not disclosed as a matter of policy. <\/p>\n<p class=\"font-body-baseline-regular text-primary\" data-testid=\"article-paragraph-annotation-test-id\">\u201cDisclosing such details would reveal where our limits lie, and that could be used against Singapore in times of crisis,\u201d he said. \u201cWhat matters is that we have sufficient buffers and contingency plans in place.\u201d<\/p>\n<p><iframe loading=\"lazy\" title=\"Singaporeans to be prepared for some food supplies to become unavailable: Shanmugam\" width=\"500\" height=\"281\" src=\"https:\/\/www.youtube.com\/embed\/Vlx5aIMEx1Q?feature=oembed\" frameborder=\"0\" allow=\"accelerometer; autoplay; clipboard-write; encrypted-media; gyroscope; picture-in-picture; web-share\" referrerpolicy=\"strict-origin-when-cross-origin\" allowfullscreen><\/iframe><\/p>\n<p class=\"font-body-baseline-regular text-primary\" data-testid=\"article-paragraph-annotation-test-id\">In the light of the heightened threat environment, Mr Shanmugam outlined several efforts by various ministries to safeguard citizens. <\/p>\n<p class=\"font-body-baseline-regular text-primary\" data-testid=\"article-paragraph-annotation-test-id\">Increased security checks have been introduced at checkpoints, and police have stepped up patrols in areas of concern.<\/p>\n<p class=\"font-body-baseline-regular text-primary\" data-testid=\"article-paragraph-annotation-test-id\">Singaporeans in the Middle East affected by the conflict were also brought home on <a href=\"https:\/\/www.straitstimes.com\/singapore\/press-button-and-we-needed-to-go-rsaf-crew-had-48-hours-to-prepare-for-repatriation-flights-to-saudi?ref=inline-article\" rel=\"nofollow noopener\" class=\"gap-x-04 items-center inline text-primary-60 select-auto\" aria-label=\"link\" target=\"_blank\" data-testid=\"custom-link\"><span class=\"font-body-baseline-regular inline\" data-testid=\"paragraph-test-id\">four repatriation flights in March<\/span><\/a>, organised by the Ministry of Foreign Affairs and Ministry of Defence. <\/p>\n<p class=\"font-body-baseline-regular text-primary\" data-testid=\"article-paragraph-annotation-test-id\">As flights in the region continue to face cancellations and disruptions, the Ministry of Culture, Community and Youth and the Islamic Religious Council of Singapore, or MUIS, have also engaged with Singaporean residents and relevant travel agencies on umrah pilgrimage trips and haj arrangements, he added.<\/p>\n<\/div>\n<p><br \/>\n<br \/><a href=\"https:\/\/www.straitstimes.com\/singapore\/politics\/spore-to-up-fuel-reserves-electricity-prices-will-rise-sharply-if-conflict-is-prolonged-shanmugam\" target=\"_blank\" rel=\"noopener\">Read Full Article At Source <\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>Follow our live coverage here. SINGAPORE \u2013 Singapore plans to increase its fuel reserves as the Middle East conflict continues, but oil prices are likely&#8230;<\/p>\n","protected":false},"author":1,"featured_media":42671,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"fifu_image_url":"","fifu_image_alt":"","footnotes":""},"categories":[2611],"tags":[],"class_list":["post-42668","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-buzz-headlines","wpcat-2611-id"],"_links":{"self":[{"href":"https:\/\/sgbuzz.com\/index.php?rest_route=\/wp\/v2\/posts\/42668","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/sgbuzz.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/sgbuzz.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/sgbuzz.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/sgbuzz.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=42668"}],"version-history":[{"count":0,"href":"https:\/\/sgbuzz.com\/index.php?rest_route=\/wp\/v2\/posts\/42668\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/sgbuzz.com\/index.php?rest_route=\/wp\/v2\/media\/42671"}],"wp:attachment":[{"href":"https:\/\/sgbuzz.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=42668"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/sgbuzz.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=42668"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/sgbuzz.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=42668"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}