Mr Steve O’Neil, Chief Executive Officer, REC

Professor Armin Aberle, Chief Executive Officer, SERIS

Distinguished Guests,

Ladies and Gentlemen,

Introduction

1. A very good morning to all of you. It brings me great pleasure to join you at the opening ceremony of REC’s manufacturing expansion in Singapore.  Since the opening of this plant in 2010, REC has grown from strength to strength in Singapore, with its global headquarters, R&D centre and key manufacturing plant all located here.

2. Last December, almost 200 countries adopted the Paris Agreement, which will spur further growth in clean energy demand as countries and companies seek solutions to mitigate carbon emissions. Based on data from Bloomberg New Energy Finance (BNEF), global clean energy investments reached an all-time high of US$329 billion in 2015. According to the Asian Development Bank (ADB)¹, Asia could account for more than half of global energy demand by 2035, up from 34 per cent in 2010. This robust energy demand places Asia at the heart of global clean energy growth, as Asian nations push towards sustainable development.

Singapore as the leading Cleantech Hub in Asia  

3. Today, Singapore is recognised as the leading clean technology or cleantech hub in Asia. Comprising fields such as renewable energy, smart grids, and green buildings, the cleantech industry has been able to benefit from the pro-business environment, intellectual property protection, commitment to research and innovation, and availability of project financing in Singapore to grow their activities.

4. In the solar industry alone, Singapore has grown the number of companies from just a handful in 2008 to about 50 local and international companies today. These solar companies conduct business activities that range from R&D to manufacturing, systems integration and project development and financing. This strong base of solar companies leverages Singapore as a springboard to access the Asia Pacific region and is aligned with our city’s interest to develop and export smart and sustainable urban solutions to the rest of the world.

REC’s expansion and upgrading of its integrated PV manufacturing facility

5. As the largest cleantech player in Singapore with over 2,000 employees, REC undertakes a range of high-value activities in Singapore, from research and advanced manufacturing, to supply chain management, business development, and sales and marketing. REC exported over 4.5 million high-quality solar panels from Singapore in 2015, enabling Singapore to make a meaningful contribution to the global effort to reduce carbon emissions.

6. REC’s new S$200 million investment is a strong vote of confidence in the continued attractiveness of Singapore as a manufacturing centre for clean energy systems. By investing in the continued improvement of its products and manufacturing processes in Singapore, we are confident that REC will maintain its competitive advantages of technology and quality.

7. This investment is also testament to the competitiveness of our broader advanced manufacturing sector, which contributes close to 20 per cent of Singapore’s GDP. Singapore’s manufacturing sector is evolving rapidly to take on the new wave of innovations and capabilities around robotics, 3-D printing, and the industrial internet of things. Singapore is highly committed to the competitiveness of our manufacturing sector and will continue to support investments that raise the skills and productivity of our workforce.

8. I am pleased to note that the REC plant in Singapore is one of the world’s largest integrated and automated solar manufacturing complexes, with robots and automation systems deployed throughout the plant to increase productivity and improve yields. Robotics have enabled REC to operate 24/7, 365 days of the year and successfully expand by around two-thirds in plant capacity within the last three years, despite Singapore’s tight labour market.

Synergies between R&D and manufacturing

9. To deepen the capabilities and competitiveness of our key industries, the Singapore government has named Urban Solutions and Sustainability (USS) as one of four technology domains that will be supported by the S$19 billion Research, Innovation & Enterprise (RIE) 2020 Plan. Clean energy companies keen on building up their innovation capacity can tap on this plan to drive their next stage of growth.

10. It is heartening to see that REC shares the same approach of prioritising research and development as a way to differentiate itself from the competition. The co-location of REC’s global solar R&D centre with its integrated manufacturing complex here has enabled REC Singapore to function as a one-stop shop where research outcomes can be quickly tested and prototyped, thereby accelerating their commercialisation. REC’s continued commitment to R&D will increase its potential to generate innovations and new businesses from Singapore for global markets.

11. The government believes that it is important that our R&D investments continue to be intertwined with our industry’s needs to enhance value capture. To strengthen its world-leading position in high-quality solar modules, REC will be signing a 5-year, landmark research collaboration with the Solar Energy Research Institute of Singapore (SERIS) from the National University of Singapore (NUS). Funded by the Economic Development Board (EDB) and National Research Foundation (NRF), SERIS is now regarded as one of Asia’s top solar R&D institutes and has contributed significantly to Singapore, both in terms of supporting the growth of our clean energy industry as well as spurring lead demand adoption.

12. REC will invest S$50million to develop high-efficiency multi and mono-crystalline solar cells and modules, in collaboration with SERIS. These modules will deliver higher yield and more cost-effective electricity generation. Ultimately, the project targets to develop a 60-cell module with 350W power, a ground-breaking product which generates 1.35 times more energy, at a comparable cost, than standard multi-crystalline modules.

13. Under this partnership, REC’s R&D team will gain access to SERIS’s solar scientists and high-end equipment; and we look forward to them jointly pushing the boundaries of solar innovation. This is a good example of public-private R&D partnership where companies can tap the scientific and technological capabilities built up in our universities and research centres to solve their challenges.  

Conclusion

14. Let me conclude by thanking REC for its continued commitment to Singapore and its contributions to Singapore’s push for advanced manufacturing with its new expansion plan. I also wish REC and SERIS a fruitful partnership and look forward to more companies partnering with our public research centres to create value through co-innovation.