Hopes of new energy supplies such as unconventional gas may help to meet growing demand globally, Singapore Prime Minister Lee Hsien Loong said on Monday.

“Time and again experts have warned that oil and gas deposits will soon be depleted,” he said at the Singapore Energy Summit.

 

“But such talk of “peak oil” has been proven wrong many times in the past. They may be wrong again.”

 

Still, he stressed that alternative energy sources are needed to prepare for a possible scenario of higher energy costs.

 

“Even if supplies do not tighten, there could still be price hikes,” Lee said.

 

Singapore is preparing itself for the future energy market by promoting competitive markets, diversifying supplies, building infrastructure and investing in research, Lee said.

 

Several Southeast Asian countries are planning to build nuclear power plants, he said.

 

Safety is a major concern for Singapore due to its size, Lee said.

 

 “But we cannot afford to dismiss the option of nuclear energy altogether,” he said.

 

“It will be a long time before we take any decision...but we should ready ourselves to do so.”