- Through this agreement, FairPrice Group will procure renewable biomass energy from Tuas Power between 2030 to 2040.
- This agreement complements FairPrice Group’s existing sustainability initiatives, from installing rooftop solar to deploying autonomous vehicles, embedding practical sustainability across its entire business.
SINGAPORE, 10 NOVEMBER 2026 – FairPrice Group (FPG) today announced an 11-year power purchase agreement with Tuas Power. The agreement will span from 2030 to 2040 and will see FPG procuring renewable biomass energy generated at Tuas Power’s Tembusu Multi Utilities Complex (TMUC) facility. The agreement marks a significant step in FPG’s efforts to decarbonise and build a more sustainable retail network.
The long-term power purchase agreement supports FPG’s sustainability roadmap to halve its Scope 1 and Scope 2 greenhouse gas emissions by 2030. By integrating renewable electricity into its energy mix, FPG is diversifying its clean energy supply to power its supermarkets, distribution centres and food services outlets.
In Singapore’s land-constrained environment, expanding access to renewable energy requires practical solutions beyond solar power. Through the agreement, FPG will tap into locally generated renewable biomass electricity from Tuas Power, providing an additional pathway to support the energy needs of its extensive retail and supply chain operations.
The renewable electricity will be verified through Renewable Energy Certificates (RECs) and relevant sustainability safeguards such as responsible and traceable biomass sourcing practices, where applicable. The biomass feedstock used will comprise imported agricultural waste and locally sourced waste wood, with appropriate verification measures and protocols to support sourcing and traceability.
Grace Chua, Chief Sustainability Officer at FairPrice Group (邱依萍, 首席永续发展官, 平价集团) shared: “As Singapore’s largest retailer, keeping daily essentials within reach goes hand-in-hand with building a sustainable and resilient retail network. Decarbonising our operations requires practical, long-term energy solutions. Partnering with Tuas Power to procure renewable electricity allows us to make steady, measurable progress in reducing our environmental footprint while serving the needs of the heartlands every day.”
Mr Lim Sam San, Senior Vice President, Tuas Power (林三山, 高级副总裁, 零售业务) said, “As one of Singapore’s leading power generation companies, Tuas Power recognises the importance of broadening the country’s renewable energy options. This partnership with FairPrice Group reflects a shared commitment to support Singapore’s long-term decarbonisation efforts by advancing biomass as a source of renewable electricity.”
Driving Sustainability Across the Business
This 11-year agreement forms part of FPG’s broader commitment to embedding practical sustainability across its entire business, making everyday retail and supply chain operations easy on the planet:
- Autonomous Vehicle (AV) Transport with Supplier: In April 2026, FPG piloted Singapore’s first retailer-supplier AV transport route in partnership with Pokka, operating a 6km round-trip route between Pokka’s warehouse and FPG’s Benoi distribution centre.
- Collaborative Agreement with Zelos: In October 2025, FPG and Zelos signed a collaboration agreement to add close to 30 AVs to its fleet. Using AVs to transport goods between its distribution centres, over 100 trips are made a week, with each trip transporting up to 1.5 tonnes of products. Each AV is projected to reduce approximately 27 tonnes of CO2 emissions annually.
- Supply Chain Decarbonisation Programme (SCDP): In 2025, FPG introduced the SCDP to equip suppliers with know-how in measuring their carbon footprint, setting Science-aligned targets and identifying decarbonisation levers. For instance, with support from SCDP, poultry firm Kee Song Group improved monitoring and energy use across its system, cutting cold room electricity consumption within a year. To date, about 40 suppliers have joined the programme.
- Trial of AVs on Public Roads: In October 2024, FPG became the first organisation in Singapore to receive approval from the Land Transport Authority (LTA) for the final stages of trials to use autonomous vehicles on public roads for cargo transportation.
- Expansion of Solar Power Capacity: In December 2023, FPG expanded rooftop solar power capacity. By December 2025, the solar panels had generated over 7,000 MWh of clean energy annually to power distribution operations.