Brunei Strengthens Electricity Infrastructure to Support Economic Growth and FDI
Bandar Seri Begawan, The Gulf Observer: Brunei Darussalam’s electricity infrastructure remains robust in meeting current demand, supporting both residential needs and the nation’s economic activities, including foreign direct investment (FDI). This was affirmed by Minister at the Prime Minister’s Office and Minister of Finance and Economy II, Yang Berhormat Dato Seri Setia Dr Awang Haji Mohd Amin Liew bin Abdullah, during the sixth day of the 21st Legislative Council (LegCo) session.
Addressing concerns over the country’s capacity to sustain a reliable power supply amid increasing FDI, the minister underscored the government’s commitment to energy security. He highlighted that electricity coverage has nearly reached 100 per cent, with continued grid expansion to Mukim Sukang and rural areas in Belait District.
As part of its strategy to enhance economic competitiveness and attract FDI, the government is prioritizing power infrastructure development through the Department of Energy. This includes expanding generation capacity and strengthening the national electricity grid network.
In the short and medium term, key energy projects are progressing, including the second phase of the Bukit Panggal Power Plant under the 12th National Development Plan (RKN12) and the construction of a new power plant by Berakas Power Company Sdn Bhd. Both projects, utilizing energy-efficient combined-cycle technology, are expected to be operational between 2027 and 2028. These developments will increase Brunei’s total installed power capacity to 1.2 gigawatts—marking a more than 35 per cent increase from current levels—to ensure sufficient energy supply for future demand.
Looking ahead, the Department of Energy is formulating an Energy Master Plan to guide the electricity sector’s development through 2035 and beyond. This initiative involves close collaboration with key stakeholders, including relevant ministries and the Brunei Economic Development Board (BEDB), aligning future electricity needs with national economic objectives.
The minister emphasized the importance of long-term infrastructure planning, particularly to accommodate high-energy-demand FDI projects. Given the significant financial investments and extended timelines required for power infrastructure expansion, funding will be sourced through the RKN12 budget or public-private partnership models.
Brunei continues to welcome FDI, with the Department of Energy facilitating investors interested in establishing private power plants. Existing major FDI projects, including Brunei Methanol Company Sdn Bhd, Brunei Fertiliser Industry Company Sdn Bhd, and Hengyi Industries Sdn Bhd, have successfully implemented captive power generation solutions. New industries are also encouraged to explore renewable energy alternatives, such as solar power, to meet their energy needs.
The government remains committed to strengthening Brunei’s energy infrastructure to support sustainable economic growth and maintain the nation’s global competitiveness in investment and industrial development.
