(SINGAPORE) Even as oil prices are poised to touch US$100 a barrel, Singapore has set itself an ambitious target. It wants to increase value-add to the energy industry from $20 billion to $34 billion by 2015 and triple employment from 5,700 to 15,300.

In spelling out its approach, the key emphasis is on securing its energy needs while exploiting the opportunities that may arise - like the commercial development of solar technology for export - amidst the latest oil crisis.

The long-awaited report released by the high-level Energy Policy Group (EPG) yesterday takes a 'whole-of-government' approach and comes 17 months after the EPG was formed, when oil prices were half today's levels.

Announcing the EPG report at yesterday's Singapore Electricity Roundtable for power officials, Trade and Industry Minister Lim Hng Kiang said that Singapore, being 100 per cent dependent on oil imports, is vulnerable to rising energy prices and risks of supply disruption.

'It is therefore critical that we manage our energy security as we continue to pursue economic growth,' he stressed.

The 76-page report titled Energy for Growth underlines the EPG's core objective, that is securing energy for the Republic's growth.

This is crucial, considering that Singapore imports 82 per cent of its oil from the Middle East, and power stations here are currently 76 per cent fuelled by piped natural gas from neighbouring Malaysia and Indonesia.

Today, says the EPG, the scope of energy policy here has expanded to include energy diversification, foreign policy, security of supply routes (like the Straits of Malacca), climate change, energy efficiency and conservation, and R&D.

Mr Lim said that the EPG report 'balances the three objectives of economic competitiveness, energy security and environmental sustainability'.

Responding to a BT query on whether the Ministry of Trade and Industry had a crisis management plan with oil prices close to hitting all-time highs, Mr Lim said: 'First of all, we have to recognise that the current oil price is a result of market forces. Overall, the global economy is growing quite robustly but supply has not caught up with it, so the resultant high oil prices are a result of these forces.'

'There's little we can do to affect world supply or demand. But what Singapore can do is to work harder at energy efficiency and consumption.

This will not take place overnight, but this is the best strategy going forward. For the individual, it means conservation, making fewer trips and being more efficient in planning your trips, for example,' he said. Pointing to the global picture, Peter Ong, permanent secretary of the Trade and Industry Ministry, and EPG chairman, added: 'Energy policy is also moving up the political agenda with many world leaders acknowledging the need for concerted global solutions to deal with energy security and climate change.'

EPG has proposed several key strategies like promoting competitive markets - including in oil refining, trading and in the electricity and gas markets - to keep energy costs affordable.

In electricity, for example, the EMA is carrying out trials to open up the last 25 per cent of the electricity market here, comprising households, to competition.

Energy supplies should also be diversified, the EPG adds, with the most imminent project being building of an LNG terminal by 2012 to enable liquefied natural gas to be shipped in from anywhere worldwide for power stations and industries here.

'It will be like another (gas) pipeline and the next big thing for Singapore,' Mr Ong said.

At the same time, Singapore will also consider and testbed possible energy alternatives like solar and even coal, although environmental concerns for the latter have to be addressed.

Norway's Renewable Energy Corporation, for example, announced a fortnight ago that it will build a S$6.3 billion solar manufacturing complex, while several other biofuel makers have also set up production plants here.

Another strategy is to improve energy efficiency in power generation and industries right through to transport, buildings and households.

The EPG also aims to step up international cooperation to ensure energy security and effective action on environmental protection.

'While people talk about costs for example in climate change, we also see in this opportunities to harness climate change, like in carbon credits,' Mr Ong said.

A carbon trading exchange here is among many ideas being considered, he added.