Date Published: 09 Feb 2009
(i) Sustainable Development & Resource Efficiency
1-1 I wish to thank members for their questions and suggestions.
1-2 Sustainable development is important for Singapore's continued
progress. Our economy, environment and society are interlinked. If economic
activity leads to more pollution and the wasteful use of resources, it will
impair our quality of life and threaten long-term growth. If we make the
wrong choices now, future generations will likely contend with unhealthy
air, water and land, and struggle for depleting resources in a congested
city with little or no greenery and water areas. We must continue to put
sustainable development high in our agenda so that future generations enjoy
the same, if not a better quality of life than what we have today.
1-3 Sustainable development will contribute towards a more dynamic economy
and a cleaner environment. This is the vision set out by the Inter-Ministerial
Committee on Sustainable Development or IMCSD which the Minister for National
Development and I co-chair. The Committee will release its report in March,
together with details on the $1bil budget for sustainable development.
1-4 Given the global downturn, the ability to grow the economy in a sustainable
way has become more, not less, relevant. Continuing to achieve good growth
while maintaining a good environment will require first, the prudent use
of natural resources, second, building capability in the environmental sector,
and third, protecting our environment to ensure environmental standards do
not slip, and even improve.
1-5 The prudent use of natural resources is particularly pertinent during
this period of economic uncertainty. By continuing to take a long-term view
and sustaining investments in resource efficiency, our economy and companies
can emerge from the economic crisis with leaner cost structures, higher productivity
and greater competitiveness. Similarly, by becoming more efficient, households
and families can save energy and water, cut costs and cope better during
tough economic times.
(ii) Climate Change, Energy Efficiency & Solar
Energy
Vulnerability to Climate Change
1-6 In 2007, NEA commissioned a 2-year study to better understand the long-term
effects of climate change, such as sea level rise and temperature changes,
on Singapore. The study is expected to be completed in the middle of this
year. Preliminary results indicate that our existing infrastructure is sufficient
to address the risks in the short to medium term. For instance, the mean
sea-level rise for Singapore is expected to be between 23cm and 69cm by the
end of the century, and our current land reclamation levels, which are set
1.25m above the highest tide level, are sufficient to address this rise.
1-7 Notwithstanding this, we will continue to work closely with the relevant
government agencies to assess the need to implement additional adaptation
measures in the longer term. We will also be embarking on the second phase
of the study on Singapore's vulnerabilities to climate change, to look
at how climate change may affect public health and biodiversity.
Energy Efficiency
1-8 Energy efficiency is our key strategy to mitigate climate change. It
is also a pragmatic approach which lowers business cost and increase competitiveness.
The E2PO (Energy Efficiency Programme Office), led by NEA, was set up in
2007 to drive energy efficiency efforts across sectors. It has rolled out
measures to increase awareness on energy efficiency, incentivise uptake of
energy efficient technologies, and develop capability in energy management.
Discussions are ongoing on suitable national targets for energy efficiency
and these will be released later this year.
Raising Awareness
1-9 To increase public awareness on energy efficiency, NEA launched the 10%
Energy Challenge in April 2008 to encourage households to reduce their energy
consumption by 10%. Every household can save electricity with simple habits,
like not leaving household appliances on standby, using a fan instead of
an air-conditioner, and using more efficient light bulbs.The 10% Energy Challenge
campaign uses a range of media platforms such as TV, internet and events
to inform households of such energy saving tips. Early results are promising
- the average monthly household electricity consumption from May to August
08 fell by almost 4% compared to the corresponding period in 2007.
1-10 Grassroots organisations and companies have also been encouraging households
to conserve energy. For example, residents in the Southeast District took
part in quizzes on energy conservation in exchange for energy-saving light
bulbs for needy households. Over 3,000 light bulbs, sponsored by Philips
Electronics, will be given out to more than 600 needy households. Separately,
OSRAM Singapore partnered Northwest CDC in donating 1,000 energy efficient
light bulbs to needy families in Marsiling.
1-11 To enable our households to choose more energy efficient equipment,
air-conditioners and refrigerators in stores now carry the mandatory energy
label. MEWR and NEA are also working with retailers and suppliers of home
appliances to promote the sales of energy efficient appliances.
1-12 I announced last year that the government will introduce the mandatory
fuel economy labelling scheme or FELS for passenger cars from 1 April 2009
to help car buyers choose more fuel efficient vehicles. All car retailers
will display the fuel economy labels of passenger car models at the showroom.
We estimate that a car owner can save nearly S$900 in fuel cost each year
by switching to a more fuel efficient car and practicing good driving habits.
We have been in close consultation with the industry to prepare them for
FELS and will take into account their feedback in the implementation.
1-13 To help businesses keep costs down, NEA will extend the waiver on registration
fees for air-conditioners and refrigerator models under MELS by an additional
year until 30 June 2010. NEA will also waive the registration fees for clothes
dryers under MELS and for vehicles under FELS till 30 June 2010.
Incentives to Encourage Energy Efficiency
1-14 In the business sector, we see huge potential to save energy and reduce
costs by investing in energy efficient technology. Some companies are already
implementing energy efficiency measures and realizing the savings. For example,
United Microelectronics Corporation is reaping energy savings of about 1
million kilowatt-hour or over S$200,000 per month by improving the efficiency
of its chiller system. To encourage wider adoption of energy efficient design,
technologies and practices, we have put in place a number of incentives.
1-15 We launched the Design for Efficiency scheme to co-fund workshops to
design new energy intensive facilities to be as energy efficient as possible.
For existing industrial facilities, we launched the Grant for Energy Efficient
Technologies to co-fund up to 50% of the cost of energy efficient equipment
or technology. The response by industries is encouraging and NEA is working
with them on several energy efficiency proposals.
1-16 To build capability in energy management, NEA launched the Singapore
Certified Energy Manager or SCEM Training Grant to co-fund the cost of attending
SCEM courses. The SCEM programmeequips facility and building managers, engineers,
technicians with the skills to manage energy services.Since the launch of
the grant in September 2008, we have approved 82 applications and all the
applicants have started their training.
Government Taking the Lead
1-17 The government is taking the lead on energy efficiency. We earlier announced
that all government buildings with more than 15,000 square metres of air-conditioned
floor area will conduct energy audits by March 2010. We are on track to meet
our goal. 12 out of 48 government buildings have completed energy audits
and implemented the recommendations, achieving S$3mil in total annual savings.
Another 10 buildings have completed energy audits and are implementing the
recommendations. An additional S$2.5mil in total annual savings could be
realised if all the identified measures are implemented. The remaining 26
buildings will complete their audits within the next year.
1-18 All large public buildings are also to ensure that the ambient indoor
air temperature is maintained as high as comfort levels allow, within the
range of 22.5 to 25.5 degrees Celsius. Going forward, we will look into extending
this requirement to cover all public sector premises.
1-19 My Ministry will continue to look into how the government can improve
resource efficiency, as well as how we can engage the private and people
sectors on similar efforts.
Looking Ahead – Enforcing Standards
1-20 There is still more Singapore can do to improve our energy efficiency.
As we progress towards more prudent energy use with greater awareness, expertise
and support by the government, we also need to lock in the gains by introducing
mandatory efficiency standards selectively to ensure a permanent improvement
in energy efficiency.
1-21 In the household sector, NEA will implement Minimum Energy Performance
Standards or MEPS for household air-conditioners and refrigerators by 2011
to remove the least efficient models from the market. The minimum standards
will be set within the 1-tick and 2-tick range, and will affect less than
20% of existing appliance models. Consumers will continue to have a sufficient
variety of appliance models to choose from, while suppliers have a 2-year
lead time to clear existing stock and bring in new models. Beyond 2011, we
will look into the feasibility of introducing MEPS for lighting.
1-22 For the buildings and industry sectors, we are studying the feasibility
of mandating good energy management practices, such as regular monitoring
and reporting of energy use and the appointment of trained energy managers
for facilities with high energy consumption.
1-23 Sir, as Singapore will continue to depend on fossil fuels in the near
future, improving energy efficiency is the most cost effective way of enhancing
energy security while lowering energy bills, and is a key thrust of our sustainable
development strategy. The industry and community must therefore work in active
partnership with government to push aggressively on energy efficiency.
Solar Energy
1-24 Solar energy is still more costly than conventional grid electricity
generated from fossil fuels, but prices are expected to come down as the
technology matures. To build up our capabilities for future adoption when
it is cost-effective to do so, we will continue to research and test-bed
such new technologies.
1-25 The National Research Foundation has set aside S$170mil for research
into clean energy. The Clean Energy Programme Office under EDB also launched
the S$17mil Clean Energy Research and Testbedding Programme in 2007 to support
the testbedding of clean energy applications in government buildings and
facilities, and the S$20mil Solar Capability Scheme last year, to offset
part of the capital cost for installing solar technologies in new buildings
The IMCSD is also considering other solar test-bedding opportunities. Further
details will be released with the IMCSD report.
(iii) Managing Water Demand
1-26 Like energy, water is a key resource we have to optimise. With the completion
of Marina Barrage last year, we now have the Marina Reservoir. Punggol and
Serangoon Reservoirs are on track to be completed later this year. Our largest
NEWater plant at Changi is also on track to be completed in 2010. Through
forward planning, we ensure sufficient supply to meet demand. We will continue
to monitor the demand trends and review the need for new projects. Developing
our resources in a timely way to meet demand helps to ensure an affordable
water supply. We also strive to improve efficiency and leverage on technology
to manage our costs amid other cost pressures such as inflation and fuel
cost.
1-27 Our Four National Taps strategy also provides us with useful options
during dry weather. Some of you may be aware that January this year was drier
than usual, and traditionally February is a dry month too. While our reservoirs
may not be as full as they usually are, I would like to reassure Singaporeans
that we have adequate water to meet our needs. With our diversified water
sources, we can supplement our supply with desalinated water. Since 2003,
we have been introducing NEWater via indirect potable use into our reservoirs,
and can increase this if need be. NEWater and desalinated water are not affected
by fluctuations in rainfall, and thus we are in a stronger position to meet
any challenges from dry weather.
1-28 Though much has been done to improve the drought resilience of our water
supply system, we are nonetheless dependent upon the rain for our supply,
and the vagaries of weather that seem to have hit many countries may not
spare us either. New water sources are also costly to develop. It is therefore
important for everyone to conserve water and use it efficiently. The current
dry season is an opportune time to remind ourselves of the significance of
this, and to play our part.
10L Challenge
1-29 The 10L Challenge is a major initiative launched in 2006 to engage the
public in water conservation and help households save on their water bills.
The community has taken an active role. 74 Water Volunteer Groups have been
formed in 42 constituencies. Together with PUB, they visit households to
educate them on water conservation practices and install water-saving devices
such as thimbles and cistern water-saving bags.
1-30 Through these outreach efforts, domestic water consumption per person
per day decreased from 157 litres in 2007 to 156 litres in 2008, and we are
on track to meet the Singapore Green Plan target of 155 litres by 2012.
Mandatory Water Efficiency Labelling Scheme
1-31 I announced last year that we will mandate water efficiency labelling
of taps, dual-flush low capacity flushing cisterns or LCFCs and urinals from
1 July 2009, so that consumers can make smart purchasing decisions and use
water-saving devices to conserve water. Industry consultation started in
late 2006 and we are in regular contact with them to ensure a smooth implementation.
1-32 Furthermore, from 1 July 2009, taps, urinals and dual-flush LCFCs installed
in all new developments and existing premises undergoing renovation must
have at least a "one-tick" water efficiency rating. All new domestic
premises and existing domestic premises undergoing renovation will also be
required to use dual-flush LCFCs from July 2009.
10% Water Challenge
1-33 Last year, we launched a set of initiatives under the 10% Challenge
to promote water conservation in the non-domestic sector. The aim is to encourage
users to manage water demand along the value chain, from sustainable and
efficient design, to the use of water conservation devices and water demand
management.
1-34 A one-stop website was set up, offering a tool for organisations to
assess their water consumption, benchmark against similar organisations and
identify areas for improvement. It also provides water efficiency tips such
as improving the design and operation of cooling units.
1-35 To build up industry capabilities in water management, a 2.5-day course
for building facilities and operations managers was developed by PUB and
Singapore Polytechnic. To-date, 29 participants from hotels, building managing
agents, and plumbing companies have been certified. An industry guide on
Water Efficient Building Design has also been published.
1-36 As the profile of water use varies across industry sectors, we are adopting
a sector-specific approach to identify areas for improvement and share best
practices. For a start, we have worked with the Singapore Hotel Association
and the MOE to encourage hotels and schools to work towards being water efficient
buildings, and reduce their water consumption by 10%.
1-37 Regent Singapore showed that water savings of up to 16% can be achieved
by adopting a Reduce, Replace and Reuse approach in water management. The
hotel installed water efficient taps, uses NEWater for cooling towers, irrigation
and water features, and has a system to monitor for any abnormal increase
in water consumption. For its efforts, the hotel was awarded Gold Plus under
the BCA's Green Mark Scheme and certified a Water Efficient Building
by PUB.
1-38 Best practices and success stories such as Regent Singapore have been
shared at water conservation seminars. Following the engagement with schools
and hotels, PUB will broaden its focus to include commercial and government
buildings, and town councils this year.
Assistance to Water Users
1-39 PUB is doing more to help users save water and cut costs. To help needy
households reap savings, PUB will spend S$600,000 to install water-saving
devices in such households with above average water consumption. PUB is working
with the People's Association and the CDCs, and engaging volunteers
to conduct house visits.
1-40 For non-domestic customers, PUB has increased the co-funding for Small
and Medium Enterprises or SMEs for water efficiency projects carried out
under the Water Efficiency Fund, from 50% to 80% of the cost of qualifying
projects. The aim is to help SMEs reduce their water costs in these lean
times. PUB will work with SPRING Singapore to promote the use of the Fund
to SMEs.
1-41 To help SMEs benefit from the lower price of NEWater, PUB will also
provide assistance to defray part of the retrofitting costs involved in switching
to NEWater. PUB will also work with SMEs to manage their water consumption
and work towards reducing their water bills by providing free constant flow
regulators and spray nozzles.
1-42 We previously announced that we would look into restructuring used water
charges into a single volumetric fee. However, in light of the economic downturn,
we recognise that the changes could add to the sense of uncertainty for households,
and will hold off the revisions for now.