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Carbon Emissions

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Energy Policy
Carbon Emissions
  • The Issue
  • The Challenge
  • Our Efforts
  • Progress Update

THE ISSUE

CARBON EMISSIONS CONTRIBUTE TO CLIMATE CHANGE

Carbon emissions make up 97% of our total greenhouse gas emissions. These emissions cause more heat to be trapped into the atmosphere, leading to climate change.

Singapore experiences the effects of climate change along with the rest of the world. The build-up of carbon dioxide, among other greenhouse gases, in the atmosphere makes our weather hotter and raises the sea level around us.

Reducing our carbon emissions is one important way we can limit the effects of climate change in the coming decades.

Carbon Emissions Issue

THE CHALLENGE

ALMOST EVERYTHING WE DO EMITS CARBON

Energy consumption is one of the main sources of carbon in Singapore. Our household appliances, transport systems, industrial and commercial activities all run on electricity and fuel. A vibrant Singapore relies on consuming electricity.

However, as carbon dioxide is invisible and the negative effects of climate change take a long time to show, it is easy for people to consume electricity without realising the consequences.

WE ARE PART OF GLOBAL ACTION ON CARBON EMISSIONS

Singapore accounts for less than 0.2% of global emissions.

To achieve a significant cut in global carbon emissions, concerted international effort is required. But this does not mean there is nothing we can do to help.

Carbon Emissions Challenge

OUR EFFORTS

PARTICIPATING IN GLOBAL EFFORTS

As a responsible member of the global community, Singapore has pledged to reduce our greenhouse gas emissions by 16% below Business-as-Usual levels in 2020. The pledge, announced in 2010 ahead of the UNFCCC Climate Change Conference in Copenhagen, was conditional on a legally binding global agreement.

We also ratified the UN Framework Convention on Climate Change in 1997 and acceded to the Kyoto Protocol in 2006.

Carbon Emissions Efforts

SWITCHING TO LESS CARBON INTENSIVE FUELS

Out of the many types of fossil fuels, natural gas emits 40% less carbon dioxide than fuel oil for every unit of electricity generated.

Over the years Singapore has switched from fuel oil to using more natural gas. This means we can continue to power Singapore while emitting less carbon than we would have, using fuel oil.

Carbon Emissions Efforts

IMPROVING OUR ENERGY EFFICIENCY

Aside from power generation, we are also working to become "energy efficient". Energy efficiency means achieving more while consuming less.

The Efficiency Programme Office (E2PO) drives energy efficiency across many different types of activities. For example, the use of public transport is encouraged, allowing Singaporeans to get from place to place while using relatively less energy.

Carbon Emissions Efforts

Carbon Tax

The carbon tax is an important step to sustain our clean, green and liveable environment, and to help us transform into a low-carbon economy. It complements the suite of measures that Singapore is undertaking to fight climate change, and will help us meet our commitments under the Paris Agreement, where we pledged to reduce our emissions intensity by 36% from 2005 levels by 2030, and to stabilise our emissions with the aim of peaking around 2030.

The Minister for Finance announced at Budget 2017, Singapore’s plan to introduce a carbon tax from 2019. The tax will be applied on facilities that emit more than 25,000 tCO2e of emissions annually, and cover the six greenhouse gases (GHGs) that Singapore currently reports to the United Nations Framework Convention on Climate Change (UNFCCC) as part of our national GHG inventory.

The carbon tax will put in place a uniform and economy-wide price signal to incentivise emitters to reduce their emissions, while giving them the flexibility to take action in the most economically efficient way. To give the industry more time to adjust and implement energy efficiency projects, the tax will start at $5/tCO2e in the first instance, from 2019 to 2023. The Government will review the tax rate by 2023. We intend to increase the tax to between $10-$15/ tCO2e by 2030. In doing so, we will take into account international climate change developments, the progress of our emissions mitigation efforts, and our economic competitiveness.

The first payment of the carbon tax will be in 2020, based on emissions in calendar year 2019. The impact on households and most businesses will be small, leading to an increase of around 1% in electricity prices. An additional $20 in the annual U-Save Rebates will be provided to all eligible HDB households over a period of 3 years, starting from 2019, to offset the expected increase in utilities expenses. The Government will also enhance support for companies, including SMEs and power generation companies, to improve energy efficiency.

Carbon Pricing Bill
The Carbon Pricing Bill was passed on 20 March 2018 and will give effect to the carbon tax in 2019 once in force. The Bill sets out the overall carbon tax framework and obligations for large GHG emitters, including the measurement, reporting and verification (MRV) requirements. The Bill will also provide powers for the Minister of the Environment and Water Resources to make and amend related regulations for matters such as the MRV requirements for affected facilities. You may view the Bill here.

Public Consultations
Public consultations were held as part of engagement efforts by Government agencies to consult stakeholders on the carbon tax. Summaries of the consultations can be found below:

Frequently Asked Questions

OUR PROGRESS

CUTTING DOWN ON CARBON-INTENSIVE FUELS

 
carbon emissions progress101

LESS CARBON EMITTED FOR
EVERY UNIT OF ELECTRICITY 

carbon emissions progress102

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