SINGAPORE: When equipment at Grandeur 8 began showing signs of inefficiency, racking up electricity bills of more than S$20,000 (US$15,700) a month, condominium manager Sean Kunnath and his team began looking at ways to bring costs down.
The answer for them was solar energy, which they estimated could save the estate S$6,000 in electricity costs a month – if residents approved.
The condominium is among a growing number of private residential estates exploring solar energy as electricity prices rise.
In the latest parliamentary sitting on May 7, Minister of State for Trade and Industry Gan Siow Huang said there has been a strong growth in solar adoption over the last few years.
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For private residential buildings, the number with solar panels has increased more than fourfold in the last five years, from around 1,400 in 2020, to around 6,900 in 2025 – corresponding to about 8 per cent of all private residential buildings.
Solar companies CNA spoke to said they have seen an increase in enquiries from condominium Management Corporation Strata Titles (MCSTs), which they attribute largely to rising electricity costs amid a volatile energy market.
The overall electricity tariff, including tariffs for non-households, increased by an average of 2 per cent or 0.52 cents per kWh before Goods and Services Tax (GST) in the second quarter of the year, compared with the first quarter.
The Energy Market Authority (EMA) said there would likely be "further and potentially sharper increases" in electricity and town gas tariffs in subsequent quarters.
Mr Jeremy Ong, senior manager of LHN Energy, said: "Condominium management committees are clearly paying attention, and we're seeing many of them actively considering solar as part of their longer-term energy strategy."
Condominiums and serviced apartments can typically expect reductions of around 20 to 40 per cent on their electricity costs for common areas such as lifts, water pumps, and corridor lighting, he added.
But are solar panels worth it – or feasible – for every estate? The answer depends largely on model choice, building design and regulatory considerations.
There are two main types of solar panel models that condominiums can adopt to power shared spaces.
The first is through direct ownership, where condominiums purchase solar photovoltaic (PV) panels and generate electricity for their own use.
LHN Energy’s Mr Ong said installation can cost between S$1.20 to S$1.40 per watt-peak (Wp), a standard measure of a solar system’s capacity, depending on the roof size and available space.
At Grandeur 8, which has 579 units across a land area of approximately 20,000 square metres, Mr Kunnath said this would cost the condominium about S$200,000, paid over instalments. The return on investment would take just under three years.
Residents would not have to pay additional fees on top of their current maintenance fee; instead, the cost would be drawn from the condominium’s sinking fund – a pool of money set aside for major repairs and upgrades – and subsequent electricity cost savings would help rebuild it.
“We are not planning to drop the maintenance fee, but instead of that, we are trying to save a much better amount, implement new facilities or modernise … because our lifts are also ageing,” said Mr Kunnath.
The second model that condominiums can adopt is through third-party solar ownership, which involves either a Power Purchase Agreement (PPA) or rooftop leasing. Both options involve zero upfront capital costs.
Under a PPA, the solar firm finances, installs, owns, and maintains the system, while the condominium pays for the electricity generated at a discounted rate.
In the case of rooftop leasing, the generated electricity is sold to other consumers, and MCSTs receive revenue in return.
According to the Building and Construction Authority (BCA), the most common business model in the Singapore market is the PPA.
The Interlace – a 1,040-unit development spread across 31 six-storey blocks – is among the condominiums considering this model.
“The nice thing about the power purchase agreement model is that it has zero upfront costs and also zero increase in the maintenance fee. So basically, it's almost fully funded by the vendor,” said Dr Rex Yeap, the vice-chairman of The Interlace's MCST.
The Interlace is among the condominiums considering installing solar panels under the Power Purchase Agreement.
In considering the transition, the council looked at the total solar energy generation over 25 years, annual savings relative to SP Group’s tariffs, the payback period and the effective cost of solar per kilowatt-hour compared to grid electricity.
“So we stress test different assumptions of all ‘what-ifs’, then all in all, we concluded that this transition makes sense,” said Dr Yeap, who is also the vice-president of the MCST Association of Singapore.
The benefits are two-fold: Electricity savings – an estimated S$7,500 per year in the first five years – can go into their management fund, resulting in savings for residents, he said.
In addition, having enhanced sustainability credentials could have a positive effect on the property value, said Dr Yeap, whose council will pitch the idea to residents at the upcoming annual general meeting.
A hurdle for condominiums considering solar panels is getting approval from residents at annual general meetings.
Currently, a special resolution must be passed with at least 75 per cent approval. In its review of the Building (Strata Management) Act earlier this year, BCA said it was exploring lowering the level of resolution for installation to 50 per cent to facilitate MCST’s installation of solar panels.
Less than two per cent of MCSTs have solar panels installed, BCA said.
Boathouse Residences, a 493-unit development with seven blocks of up to 18 storeys, is among the few.
But getting there took a five-hour annual general meeting, and allaying the concerns of penthouse owners who worried that their natural sunlight would be blocked.
“We had to clarify, justify the benefits and address transparently before we got it approved,” said Mr Mohd Rizal, the managing agent for the development. The resolution was eventually passed with about 85 per cent approval.
“So the biggest challenge was balancing technical feasibility with residents' expectations,” he said.
Boathouse Residences has since adopted a lease model and pays a fixed monthly fee of S$7,400, excluding GST, to the vendor, said Mr Rizal.
The system has yielded encouraging results. Since commissioning in March 2025, the condominium has consumed about 180,000 kWh less electricity from the national grid, leading to gross electricity cost savings of about S$113,000.
After accounting for lease costs, the condominium has net savings of approximately S$68,800, Mr Rizal said.
His managing agency is now exploring the feasibility of installing solar panels at six other estates under its care.
Providers stressed that not all condominiums are suitable for solar panels. CNA reported in April that condominiums are facing barriers to solar panel adoption.
GetSolar co-founder Luke Ong said certain condominium roof surface areas may not be large enough to install solar panels for the condominium to have a significant return on investment.
“Even if they're large enough, or some of the smaller ones, there's a lot of machinery and electrical equipment on top. Your aircon, water ducts. There's not enough space left,” he said.
Additionally, it costs more to install cables in tall buildings from the roof to the ground floor, he said.
FOMO Energy’s business development manager Dionne Sim said the effectiveness of solar panels for condominiums depends largely on the available rooftop space relative to the building's common area consumption.
Condominiums with larger roof footprints and higher common area consumption tend to see the strongest returns, she added.
But she noted that condominiums face a regulatory constraint.
Most condominiums draw electricity for shared facilities through a master meter, separate from individual units.
Under the Master-Sub Metering Arrangement, solar energy generated on-site can typically only be used to offset electricity consumed by shared facilities, limiting the benefits of generating more power than these areas use.
This means that even where rooftop space is available, the amount of solar energy that can be self-consumed is limited, said Ms Sim.
This limits the extent to which solar installations can be scaled up for additional returns.
GetSolar’s Mr Ong said: “If condos are a target for the government to start becoming more energy resilient, the Master-Sub scheme needs to be relooked at.”
Singapore is one of the most solar-dense cities in the world, and has raised its 2030 target of deploying 2 gigawatt-peak (GWp) of solar to 3 GWp.
There were 899 new grid-connected solar PVs installed in the fourth quarter of 2025, bringing the total number of installations in Singapore to 14,625.
But tapping solar energy comes with its own set of challenges. Besides the limited land space in Singapore, the high humidity and cloud cover affect the efficiency of photovoltaic (PV) cells.
According to the National Climate Change Secretariat, Singapore is investing in research and development as well as test-bedding to improve the performance of solar PV systems and develop innovative ways of integrating solar energy systems.
On May 14, scientists from the Nanyang Technological University (NTU) unveiled a new type of ultrathin transparent solar cell that could turn windows into power generators.
The researchers have created perovskite solar cells that are about 10,000 times thinner than a strand of human hair and around 50 times thinner than conventional perovskite solar cells.
Despite their thinness, the devices achieved some of the highest power conversion efficiencies reported for ultrathin perovskite solar cells to date.
These new solar cells are semi-transparent and colour neutral, and could potentially be incorporated into windows and facades without significantly changing how a building looks.
Unlike conventional silicon solar cells, these perovskite-based devices are capable of generating electricity even under indirect sunlight and diffuse light conditions.
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Mr Andrew Lioe, president of the Association of Strata Managers (ASM), said both the MCST and the solar vendor must conduct a comprehensive study on whether the pros outweigh the cons, both in terms of aesthetics and costs.
“Everyone is so excited about the savings, but solar panels, like all other equipment, need maintenance. And solar panels, like all other equipment, have a lifespan,” he said.
According to the EMA's website, solar PV systems are designed to last for at least 30 years, with a warranty period of 25 to 30 years.
Still, Mr Lioe foresees more condominiums adopting solar panels over time, especially where it makes sense structurally.
“Besides the financial aspect, owners also have to see that solar panels are also a way for us to be greener, more environmentally friendly, and also to be a bit more sustainable.”
The ramp-up could come sooner than expected. Speaking in parliament on May 7, Ms Gan said economic conditions are “very favourable” for private property building owners to consider solar installation.
“Primarily because the solar technology has improved in terms of efficiency, and also the cost of installation has come down substantially,” said Ms Gan.
Government agencies are also working closely together to look at how they can make solar installation in Singapore easier and more cost-effective for building owners, she added.
For example, the Singapore Civil Defence Force reviewed fire safety requirements for rooftop solar installations, exempting more than half of such systems on metal-roofed buildings from a one-hour fire separation rule.
This allows eligible building owners to save up to 30 per cent in construction costs, she said.
Ms Gan said: “We will monitor closely the rate of adoption, and the government is prepared to consider additional measures, if necessary.”
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The answer for them was solar energy, which they estimated could save the estate S$6,000 in electricity costs a month – if residents approved.
The condominium is among a growing number of private residential estates exploring solar energy as electricity prices rise.
In the latest parliamentary sitting on May 7, Minister of State for Trade and Industry Gan Siow Huang said there has been a strong growth in solar adoption over the last few years.
CNA Games
Show More Show Less
For private residential buildings, the number with solar panels has increased more than fourfold in the last five years, from around 1,400 in 2020, to around 6,900 in 2025 – corresponding to about 8 per cent of all private residential buildings.
Solar companies CNA spoke to said they have seen an increase in enquiries from condominium Management Corporation Strata Titles (MCSTs), which they attribute largely to rising electricity costs amid a volatile energy market.
The overall electricity tariff, including tariffs for non-households, increased by an average of 2 per cent or 0.52 cents per kWh before Goods and Services Tax (GST) in the second quarter of the year, compared with the first quarter.
The Energy Market Authority (EMA) said there would likely be "further and potentially sharper increases" in electricity and town gas tariffs in subsequent quarters.
Mr Jeremy Ong, senior manager of LHN Energy, said: "Condominium management committees are clearly paying attention, and we're seeing many of them actively considering solar as part of their longer-term energy strategy."
Condominiums and serviced apartments can typically expect reductions of around 20 to 40 per cent on their electricity costs for common areas such as lifts, water pumps, and corridor lighting, he added.
But are solar panels worth it – or feasible – for every estate? The answer depends largely on model choice, building design and regulatory considerations.
COST OF INSTALLING SOLAR PANELS
There are two main types of solar panel models that condominiums can adopt to power shared spaces.
The first is through direct ownership, where condominiums purchase solar photovoltaic (PV) panels and generate electricity for their own use.
LHN Energy’s Mr Ong said installation can cost between S$1.20 to S$1.40 per watt-peak (Wp), a standard measure of a solar system’s capacity, depending on the roof size and available space.
At Grandeur 8, which has 579 units across a land area of approximately 20,000 square metres, Mr Kunnath said this would cost the condominium about S$200,000, paid over instalments. The return on investment would take just under three years.
Residents would not have to pay additional fees on top of their current maintenance fee; instead, the cost would be drawn from the condominium’s sinking fund – a pool of money set aside for major repairs and upgrades – and subsequent electricity cost savings would help rebuild it.
“We are not planning to drop the maintenance fee, but instead of that, we are trying to save a much better amount, implement new facilities or modernise … because our lifts are also ageing,” said Mr Kunnath.
The second model that condominiums can adopt is through third-party solar ownership, which involves either a Power Purchase Agreement (PPA) or rooftop leasing. Both options involve zero upfront capital costs.
Under a PPA, the solar firm finances, installs, owns, and maintains the system, while the condominium pays for the electricity generated at a discounted rate.
In the case of rooftop leasing, the generated electricity is sold to other consumers, and MCSTs receive revenue in return.
According to the Building and Construction Authority (BCA), the most common business model in the Singapore market is the PPA.
The Interlace – a 1,040-unit development spread across 31 six-storey blocks – is among the condominiums considering this model.
“The nice thing about the power purchase agreement model is that it has zero upfront costs and also zero increase in the maintenance fee. So basically, it's almost fully funded by the vendor,” said Dr Rex Yeap, the vice-chairman of The Interlace's MCST.
The Interlace is among the condominiums considering installing solar panels under the Power Purchase Agreement.
In considering the transition, the council looked at the total solar energy generation over 25 years, annual savings relative to SP Group’s tariffs, the payback period and the effective cost of solar per kilowatt-hour compared to grid electricity.
“So we stress test different assumptions of all ‘what-ifs’, then all in all, we concluded that this transition makes sense,” said Dr Yeap, who is also the vice-president of the MCST Association of Singapore.
The benefits are two-fold: Electricity savings – an estimated S$7,500 per year in the first five years – can go into their management fund, resulting in savings for residents, he said.
In addition, having enhanced sustainability credentials could have a positive effect on the property value, said Dr Yeap, whose council will pitch the idea to residents at the upcoming annual general meeting.
GETTING RESIDENTS’ APPROVAL
A hurdle for condominiums considering solar panels is getting approval from residents at annual general meetings.
Currently, a special resolution must be passed with at least 75 per cent approval. In its review of the Building (Strata Management) Act earlier this year, BCA said it was exploring lowering the level of resolution for installation to 50 per cent to facilitate MCST’s installation of solar panels.
Less than two per cent of MCSTs have solar panels installed, BCA said.
Boathouse Residences, a 493-unit development with seven blocks of up to 18 storeys, is among the few.
But getting there took a five-hour annual general meeting, and allaying the concerns of penthouse owners who worried that their natural sunlight would be blocked.
“We had to clarify, justify the benefits and address transparently before we got it approved,” said Mr Mohd Rizal, the managing agent for the development. The resolution was eventually passed with about 85 per cent approval.
“So the biggest challenge was balancing technical feasibility with residents' expectations,” he said.
Boathouse Residences has since adopted a lease model and pays a fixed monthly fee of S$7,400, excluding GST, to the vendor, said Mr Rizal.
The system has yielded encouraging results. Since commissioning in March 2025, the condominium has consumed about 180,000 kWh less electricity from the national grid, leading to gross electricity cost savings of about S$113,000.
After accounting for lease costs, the condominium has net savings of approximately S$68,800, Mr Rizal said.
His managing agency is now exploring the feasibility of installing solar panels at six other estates under its care.
Related:
STRUCTURAL, REGULATORY CONSTRAINTS
Providers stressed that not all condominiums are suitable for solar panels. CNA reported in April that condominiums are facing barriers to solar panel adoption.
GetSolar co-founder Luke Ong said certain condominium roof surface areas may not be large enough to install solar panels for the condominium to have a significant return on investment.
“Even if they're large enough, or some of the smaller ones, there's a lot of machinery and electrical equipment on top. Your aircon, water ducts. There's not enough space left,” he said.
Additionally, it costs more to install cables in tall buildings from the roof to the ground floor, he said.
FOMO Energy’s business development manager Dionne Sim said the effectiveness of solar panels for condominiums depends largely on the available rooftop space relative to the building's common area consumption.
Condominiums with larger roof footprints and higher common area consumption tend to see the strongest returns, she added.
But she noted that condominiums face a regulatory constraint.
Most condominiums draw electricity for shared facilities through a master meter, separate from individual units.
Under the Master-Sub Metering Arrangement, solar energy generated on-site can typically only be used to offset electricity consumed by shared facilities, limiting the benefits of generating more power than these areas use.
This means that even where rooftop space is available, the amount of solar energy that can be self-consumed is limited, said Ms Sim.
This limits the extent to which solar installations can be scaled up for additional returns.
GetSolar’s Mr Ong said: “If condos are a target for the government to start becoming more energy resilient, the Master-Sub scheme needs to be relooked at.”
Turning windows into power generators
Singapore is one of the most solar-dense cities in the world, and has raised its 2030 target of deploying 2 gigawatt-peak (GWp) of solar to 3 GWp.
There were 899 new grid-connected solar PVs installed in the fourth quarter of 2025, bringing the total number of installations in Singapore to 14,625.
But tapping solar energy comes with its own set of challenges. Besides the limited land space in Singapore, the high humidity and cloud cover affect the efficiency of photovoltaic (PV) cells.
According to the National Climate Change Secretariat, Singapore is investing in research and development as well as test-bedding to improve the performance of solar PV systems and develop innovative ways of integrating solar energy systems.
On May 14, scientists from the Nanyang Technological University (NTU) unveiled a new type of ultrathin transparent solar cell that could turn windows into power generators.
The researchers have created perovskite solar cells that are about 10,000 times thinner than a strand of human hair and around 50 times thinner than conventional perovskite solar cells.
Despite their thinness, the devices achieved some of the highest power conversion efficiencies reported for ultrathin perovskite solar cells to date.
These new solar cells are semi-transparent and colour neutral, and could potentially be incorporated into windows and facades without significantly changing how a building looks.
Unlike conventional silicon solar cells, these perovskite-based devices are capable of generating electricity even under indirect sunlight and diffuse light conditions.
Collapse Expand
SUPPORT FOR PRIVATE RESIDENCES
Mr Andrew Lioe, president of the Association of Strata Managers (ASM), said both the MCST and the solar vendor must conduct a comprehensive study on whether the pros outweigh the cons, both in terms of aesthetics and costs.
“Everyone is so excited about the savings, but solar panels, like all other equipment, need maintenance. And solar panels, like all other equipment, have a lifespan,” he said.
According to the EMA's website, solar PV systems are designed to last for at least 30 years, with a warranty period of 25 to 30 years.
Still, Mr Lioe foresees more condominiums adopting solar panels over time, especially where it makes sense structurally.
“Besides the financial aspect, owners also have to see that solar panels are also a way for us to be greener, more environmentally friendly, and also to be a bit more sustainable.”
The ramp-up could come sooner than expected. Speaking in parliament on May 7, Ms Gan said economic conditions are “very favourable” for private property building owners to consider solar installation.
“Primarily because the solar technology has improved in terms of efficiency, and also the cost of installation has come down substantially,” said Ms Gan.
Government agencies are also working closely together to look at how they can make solar installation in Singapore easier and more cost-effective for building owners, she added.
For example, the Singapore Civil Defence Force reviewed fire safety requirements for rooftop solar installations, exempting more than half of such systems on metal-roofed buildings from a one-hour fire separation rule.
This allows eligible building owners to save up to 30 per cent in construction costs, she said.
Ms Gan said: “We will monitor closely the rate of adoption, and the government is prepared to consider additional measures, if necessary.”
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