SINGAPORE Law and Practice Contributed by: Adam Moncrieff, Karthik Kumar, Lynette Lim and Kelly Choo, Orrick, Herrington & Sutcliffe LLP
safety, fire safety and building control regimes. For example, environmental approvals may impose con- ditions requiring the installation or operation of fuel- burning equipment, control equipment or treatment plant, changes to operating methods, use of specified fuel, testing and record-keeping. The typical terms and conditions imposed on a Gen- eration Licence relate to matters such as compliance with applicable laws and market rules, technical and operational performance, safe and reliable operation of the generating units, dispatch and market participa- tion, reporting, outage coordination, and compliance with directions and codes issued or approved by the EMA. The Electricity (Electrical Installations) Regula- tions may also apply to associated electrical or sup- ply installations, and provide for licensing, inspection, testing and certification requirements. Modifications of an electricity licence are governed by the Electricity Act. In essence, the EMA may modify licence conditions if it is satisfied that the modification is requisite or expedient having regard to its statu- tory functions and duties. Before doing so, EMA must give notice to the relevant licensee and other licen- sees likely to be affected by the modification, state the proposed modification and reasons, and allow at least 28 days for written representations, which the EMA must consider before proceeding. 3.4 Eminent Domain, Condemnation and Expropriation Rights to Construct and Operate Generation Facilities A private proponent for the siting, construction and operation of a generation facility does not generally have standalone eminent domain, condemnation or expropriation rights to acquire land for the project. Rights to the surface of land for a generation facility are typically obtained through ordinary land arrange- ments, such as ownership, lease, licence, easement or other contractual arrangements with the relevant landowner. Where the project is located on state land, industrial land or land controlled by a statutory board or government-related land agency, the relevant land grant, lease or licence would need to be obtained from the appropriate authority or landowner.
The Electricity Act does, however, confer limited statu- tory works powers on a generation licensee for pur- poses connected with the activities authorised by its electricity licence. A generation licensee may install, inspect, maintain, repair, alter, replace or remove electric lines, electrical plant and related structures or apparatus under, over, in, on, along or across land, premises, streets or bridges, and may execute works incidental to those purposes. These powers are not equivalent to ownership or compulsory acquisition rights: the licensee acquires no right other than a right of user in respect of the relevant land or property. The licensee must compensate any person who suf- fers damage or loss of value to property as a result of works carried out under these statutory powers. The amount is to be agreed between the licensee and the affected person, and may include an annual pay- ment for the use of land or immovable property for the licensee’s purposes. If compulsory acquisition of land is required, this is a state process under the Land Acquisition Act rather than a private right of the gen- eration project proponent; the SLA states that private land may be acquired for public purposes and that affected landowners are paid market value compen- sation under the Land Acquisition Act. 3.5 Decommissioning a Generation Facility It is a condition of a generation electricity licence issued by the EMA that the licensee must, unless a specific exception is made by EMA, obtain the EMA’s prior approval before retiring any of its generating units. Any decommissioning must comply with appli- cable codes and rules, including the Transmission Code and Market Rules. 4. Transmission Lines and Associated Facilities 4.1 Constructing and Operating Transmission Lines and Associated Facilities The main legislation governing the electricity sector in Singapore, including the ownership, construction and operation of transmission networks in Singa- pore, is the Electricity Act. The applicable electricity licence for the ownership, construction and operation of transmission networks in Singapore is the transmis-
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