Distinguished guests

Ladies and Gentlemen

Let me thank everyone for sharing your insights on what we believe to be three essential factors underlying a sustainable solution to meet the growing global need for water. We have certainly heard some good thoughts during the roundtables.

2.            Viewed against the challenges of rapid urbanisation, these discussions are especially pertinent. The problem of providing a sustainable supply of clean and affordable water will require a rethinking of the key challenges we face in governance, technology and financing. The discussions have been a timely examination of these issues, and I believe that we have benefitted from the new perspectives.

Governance

3.            The need for governments to continue taking the lead in striving for water sustainability cannot be overstated. Many delegates shared that Governments have a role to play in ensuring that clean drinking water is accessible and affordable. Hence, be it devoting resources to maintain and build water infrastructure, or investing in research and development of new technology, governments have to step up and demonstrate strong water governance. A sustainable future is not possible without strong leadership by the government driven by a clear vision.

4.            A number of speakers also highlighted that there is a need for an integrated decision making process in dealing with the multi-faceted issue of water sustainability. In Singapore, we share the same view. In 2001, recognising that Singapore’s water supply systems, drainage systems, and sewerage systems are part of a comprehensive water cycle, the PUB was reconstituted to become Singapore’s national water authority, overseeing the entire water loop. PUB itself was transferred from the Ministry of Trade and Industry to the Environment Ministry, while the sewerage and drainage departments from the Environment Ministry were transferred to PUB. This restructuring was one of the many factors that led to the success of NEWater, which requires close coordination between the sewerage system and the water reclamation system.

Technology

5.            As environmental issues grow more complex and diverse, technology will become increasingly critical to addressing these challenges. Today, much of the world is facing freshwater scarcity. By 2030, the number of people living under severe water stress could grow to 3.9 billion[1]. This is over 1 billion more than today. Technology will have to be part of the solution to meet their water needs.

6.            A point raised by many delegates is that water and energy are closely inter-twined. Innovation to improve energy efficiency, both in the treatment process and the distribution of water, is therefore critical in striving for water sustainability. Governments can play a role in driving innovation and facilitating opportunities for water solution providers to test bed their projects before bringing it to the market. As a case in point, we can see how innovation has dramatically reduced the energy use of desalination. Nevertheless, there is still room for further innovation. Our Environment and Water Development Industry Council (EWI) has awarded a US$ 2.8 million (SGD$ 4 million) research grant in support of this development which will be a breakthrough in the desalination market.

7.            Recognising the significance of technical innovation on water resource management, we are establishing ourselves as a global Hydrohub to encourage companies and research institutes to locate and develop cutting-edge technologies. There are now six public Centres of Competence in our universities, with the latest inclusion - the Singapore-Peking-Oxford Research Enterprise announced this week, providing specialised water research and training services. In addition, 14 companies (including GE, Siemens and Toray) have set up private R&D centres here. It is our hope that the solutions developed here in Singapore will also bring benefits to others beyond our shores.

Sound Financing

8.            Beyond governance and technology, bridging the financing gap is also crucial towards achieving our water goals. Although public sector budgets can provide the bulk of financing for the sector, they are limited everywhere.

9.            A key principle that public sectors need to bear in mind is that just like energy, water is a scarce resource that must be efficiently allocated and optimally utilised. Pricing water correctly is an important policy objective that governments must get the public to understand and buy in. However, governments can still offer targeted assistance to those who need it.

10.         In the last session, we heard from the panel how various creative financing arrangements, with their own unique features have been implemented. The principle of sound financing will continue to be fundamental to securing a sustainable supply of water.

11.         In Singapore, the growth of a vibrant and dynamic water industry, together with a well developed and robust financial sector, has enabled us to tap on the private sector to develop our infrastructure. Although we have not taken the route of complete privatisation of our water supply, we have been able to engage the private sector in the provision of water through Public Private Partnerships. Singapore’s fifth and largest NEWater plant that was opened last month is PUB’s third PPP project to date. We have also just announced that Singapore will be building a second desalination plant under the PPP model.

Closing

12.         With that, I would like to express my thanks again to all of you present here for your participation, and to the speakers for the fruitful and invigorating discussions. In particular, I would like to express my appreciation to Prof Tommy Koh, the Summit Chairperson for the past three years. Although we may not have all the solutions, I believe that in sharing our experiences, we expand our ability to make real and lasting progress. The theme for next year’s water week will be “Sustainable Water Solutions for a Changing Urban Environment”, and I look forward to your continued strong support and participation.

13.         Thank you.