VEO electrifies Neste’s refinery expansion in Singapore

Neste’s Singapore refinery expansion significantly increases not only the production capacity of renewable products but also the responsible use of raw materials and is a milestone to cut our dependence on fossil energy.

To limit global warming to 1.5°C by 2030, the rush to find, apply and scale solutions has been a hot topic. Replacing fossil products with renewable alternatives is a key to halting climate change. This is where VEO’s long-term partner and the world’s leading producer of sustainable aviation fuel and renewable diesel, Neste, leads the way.

Neste started refining renewable fuel products in Singapore in 2010, also at that time, VEO was involved in building the innovative refinery. Today, an expansion of the same refinery has also been introduced. With it, Neste doubles its production capacity in Singapore from 1.3 million to 2.6 million tons per year. This significantly increases the availability of sustainable aviation fuel (SAF), renewable diesel and renewable raw materials, and is thus a major step forward in replacing fossil fuels and reducing CO2 emissions in transport.

The electricity of the entire refinery flows through switchgear supplied by VEO. The latest refinery expansion was a massive project for VEO, which included services from design, manufacturing, testing, delivery Site supervision during installation and commissioning, reporting and project management.

– At VEO, we work daily to enable the green transition, and thus we highly value clients like Neste who share our ambition. The Singapore project is a testament to our dedication to product development in the most demanding conditions and showcases how an electrification and automation system integrator can commit to enabling a sustainable future, says Jakob Lövdahl, VEO’s Vice President of Sales and Marketing.

Electrification solution based on VEDA 5000 switchgear

Neste’s Singapore refinery’s electrical distribution system was designed based on VEO’s VEDA 400-volt switchgear. VEO’s delivery included the entire power distribution system and all the plant’s medium-voltage switchgears.

– Our strength is that we can integrate products of any brand into our solutions, to form the best possible entity for the client. In this project, our own VEDA switchgear was the most important piece of the puzzle, but we also utilised products from other vendors. Switchgears designed for Singapore were more demanding than normal regarding technical characteristics and construction. Larger bus bar systems and short-circuit values required precise planning and testing, says Seppo Perätalo, VEO’s Key Account Manager.

VEO has developed and tested its VEDA 5000 switchgear product for a long time to better meet the always-changing standards and each client’s individual needs. And the work has paid off.

– Today’s VEDA is an excellent and high-quality product that we have designed specifically for heavy industry projects such as Neste Singapore. The development work will also continue in the future. In this sense too, Neste is a good partner. They follow a strict line of inspections, to minimise downtime. Work done with reverence creates new development ideas and products that last a long time in use, Perätalo explains.

The long-term partnership benefits everyone

All projects implemented at the turn of the decade have been overshadowed by the COVID-19 pandemic. So the Neste Singapore project.

– In the most intense times of the pandemic, Singapore’s construction site was also completely closed for months, which of course caused delays. However, we were able to catch up on the schedule. Now the long, five-year project is complete, and the expansion running. We can all be happy with the job well done, says Perätalo.

VEO has been Neste’s trusted partner in large investment projects for nearly 20 years and has delivered electricity distribution to all of Neste’s renewable product refineries in Singapore, Rotterdam and Finland.

– The benefit of our long-shared history is that we know Neste inside out so that we can even anticipate their needs. Even after precise inspections, there has never been much to point out or correct in our products or operating practices. We have been a trusted supplier for Neste and that’s what’s most important to us because we want to help our clients succeed.

With the new refinery, Neste doubles its production capacity in Singapore from 1.3 million to 2.6 million tons per year and takes a major step forward in replacing fossil fuels and reducing CO2 emissions in transport.