Singapore Environment Sustainability Initiatives
In alignment with the Intergovernmental Panel on Climate Change’s 2023 report on global warming, Singapore has implemented various strategies to support green and climate transition initiatives. These strategies offer potential opportunities for U.S. providers of green economy solutions and for any U.S. company doing business in Singapore.
• The Finance for Net Zero Action Plan and the Singapore-Asia Taxonomy for Sustainable Finance are initiatives designed to boost sustainability innovation in Singapore. Launched by the Monetary Authority of Singapore (MAS) in April 2023, the Finance for Net Zero Action Plan aims to mobilize financing to support Asia’s net-zero transition and decarbonization activities in the region. The Singapore-Asia Taxonomy provides guidance for market participants to identify and allocate capital to green and transition projects.
• The National Environment Agency’s (NEA) Productivity Solutions Grant is a S$90 million (US$67 million) initiative, available from Q4 2024 to March 2027, to support Singapore’s environmental services industry. It aims to boost productivity and build a skilled workforce by promoting the adoption of technological solutions and equipment.
• The world’s largest ocean CO2 absorption facility, set to be operational in 2025, will remove 3,650 metric tons of CO2 annually and produce hydrogen. This S$27 million (US$20 million) facility will convert CO2 into solid limestone for long-term storage, generating carbon credits for its partners. It was designed by Equatic and funded by Singapore’s National Water Agency (PUB), the National Research Foundation, and the Institute for Carbon Management.
• Singapore’s political leadership underscores the financial sector’s vital role in driving decarbonization and transitioning to a sustainable green economy. At the SGFIN Sustainability Summit, Prime Minister Lawrence Wong highlighted McKinsey research, indicating Asia needs US$3 trillion annually to achieve net-zero emissions by 2050. He emphasized expanding the talent pool in sustainable finance and enhancing financial flow efficiency and regulatory standards.
These initiatives support Singapore’s goal of achieving net-zero carbon emissions by 2045. Singapore’s approach to reducing carbon emissions and promoting sustainable finance showcases its efforts to mitigate climate change . Through strategic initiatives, significant investments, and regulatory measures, Singapore is setting a new standard for environmental sustainability in Southeast Asia.
For more information and to connect with commercial opportunities in environmental technologies in Singapore, contact Sherry Ng, Regional Commercial Assistant for ASEAN, U.S. Commercial Service Singapore.