Update on Centralised Cooling System at Tengah

1. The centralised cooling system (CCS) used at Tengah is a proven and sustainable district cooling solution. SP Group works closely with the Housing & Development Board (HDB) and Daikin in implementing this initiative that contributes towards creating Singapore's first smart energy town, at Tengah. With the CCS, Tengah residents can play a key role in fostering a climate of change by choosing eco-friendlier cooling to lower carbon footprint through efficient system.
2. As at 12 February 2024, we have more than 9,000 CCS subscribers in Tengah. They form 70 per cent of customers who have signed leases with HDB for flats at Tengah. About 2,600 CCS subscribers have collected their keys. Our priority is to deliver a resilient and sustainable cooling solution for Tengah residents.
3. As we rolled out the CCS, there were some issues reported by the initial batch of CCS customers. Most of them are condensation issues that were workmanship-related, due to the compressed timeline to install the Fan Coil Units (FCUs), piping and trunking within the homes, and to fully test and stabilise the CCS.
4. Together with HDB and Daikin, we have worked to identify and expeditiously resolve the reported issues. To minimise inconvenience for CCS customers, we aim to resolve all issues reported by customers, within 10 business days from the day of the initial inspection.
5. Perceptions that the issues with CCS at Tengah are large scale and widespread were coloured by the initial wave of feedback from customers who moved in during the compressed timeline. These are teething issues that have surfaced for a new town like Tengah. After proactively implementing our additional testing, commissioning works, and quality assurance measures, we have observed the situation stabilising. Today, we have about 80 remaining cases that are in the process of being resolved within our committed timeline. With the experience gained from the past few months, improvements made to our installation, testing and quality assurances processes, as well as the improved flat delivery schedule going forward, we will work towards reducing such feedback cases in the months ahead.
6. Condensation issues are not unique to CCS or Tengah but are a recognised occurrence in air-conditioning systems. As noted by the Ministry of National Development's written response on 10 January 2024 to a parliamentary question, HDB receives an average of 715 cases of feedback per year on condensation in “conventional” air-conditioning. However, we understand the inconvenience caused and are dedicated to addressing the reported cases promptly.
7. To ensure that the CCS is operationally stable and optimised, we have worked with Daikin to ramp up manpower and to attend to customers' concerns in a timely manner and support extensive testing and commissioning for the solution. With these enhanced measures, we believe this will improve our customers' experience with CCS. We thank our Tengah customers for their support, patience and understanding.

For more information or questions on CCS, please refer to the list of Frequently Asked Questions.