Date Published: 29 Jul 2010
Distinguished Guests;
Ladies and Gentlemen;
Good morning.
Introduction
1 I am delighted to join you at this National Sustainability Conference. I will be sharing with you some of my thoughts on sustainability, and the policies that the Government has introduced and will introduce to position Singapore for continued sustainable development.
2 The world faces many challenges today arising from the unsustainable use of resources. In their statement at the Pittsburg Summit last year, the G20 leaders identified increasing clean and renewable energy supplies, improving energy efficiency, and promoting conservation as critical steps to protect the environment and address the threat of climate change. Indeed, there is growing worldwide recognition --- and may I add alarm --- that our future depends heavily on how successfully nations around the globe are able to achieve greener and more sustainable growth.
3 The Singapore Government has always believed in striking a balance between economic growth and protecting the environment for the current and future generations. It has been an axiom of our leaders that the pursuit of economic development cannot come at the expense of the environment.
4 Looking ahead, there are three pressing challenges that we will need to address. Firstly, continued population and economic growth will place additional strains on Singapore’s environment, if not managed well. Secondly, resource scarcity will worsen globally and Singapore needs to be prepared for a future where resources are less abundant and more expensive. Thirdly, Singapore’s efforts alone will be totally insufficient. The international community must also act to address the challenge of climate change but Singapore will play its part as a responsible global citizen.
5 In January of 2008, Prime Minister Lee Hsien Loong set up the Inter-Ministerial Committee on Sustainable Development (IMCSD). The Committee developed a national framework and a set of key strategies for Singapore’s next lap of growth, so as to achieve sustainable development. In April 2009, the Committee released the Sustainable Singapore Blueprint. The Blueprint details the key goals and initiatives that will be adopted to ensure that Singapore continues to pursue the path of sustainable development.
6 The Blueprint sets out certain goals that will help Singapore achieve a greater level of resource efficiency and do our part to improve environmental sustainability and battle climate change. By 2030, we aim to achieve a 35% improvement in energy efficiency from 2005 levels, increase the overall recycling rate to 70% and reduce the daily domestic water consumption to 140 litres per person. Put simply, we want to do more with less.
7 We are putting in place policies to reduce the amount of energy and water consumed and the amount of waste generated. For example, there is much we can do to drive energy efficiency in the industrial sector in Singapore. Improving energy efficiency not only helps to reduce emissions arising from the combustion of fossil fuels, it also helps companies to be more economically competitive by reducing their energy costs. And it helps to meet consumer expectations of corporate responsibility towards society.
8 To encourage companies in the manufacturing and building sectors to carry out detailed studies on their energy consumption as well as identify potential areas for energy efficiency improvement, we have introduced the Energy Efficiency Improvement Assistance Scheme (EASe). The $10 million scheme is administered by the National Environment Agency (NEA). It provides up to 50% co-funding for the engagement of specialist companies to conduct appraisals and identify specific measures for energy efficiency improvement. The NEA has thus far approved 177 applications so far. These projects, when implemented, are estimated to reap a total annual energy savings of $53 million and reduce electricity demand by 300 GWh per year. NEA also introduced the Grant for Energy Efficient Technologies (GREET) scheme, which provides co-funding for up to 50% of the qualifying costs for industrial facilities to invest in energy efficient equipment or technologies.
9 To build capability in energy management, the NEA launched the $6.6 million Singapore Certified Energy Manager (SCEM) Training Grant to co-fund the cost of attending SCEM courses. These courses equip engineering professionals with the skills to manage energy use in their buildings and industrial facilities. 364 applications have been approved so far, with the applicants coming mainly from the property and facilities management as well as the consultancy sectors.
10 The Government is now looking at energy management practices for companies. International experience indicates that the implementation of energy management programmes in companies is one of the most cost-effective ways to improve energy efficiency, and companies can expect to reduce their energy consumption by at least 10 to 15%. These energy management practices ought to be the norm for the companies, and some countries like Japan have mandated energy management practices for their companies.
11 The Ministry of the Environment and Water Resources is thus preparing to introduce an Energy Conservation Act, which will come into force in 2013, setting minimum energy management requirements for large industrial energy users. Such companies that consume more than the equivalent of 15 GWh of energy annually will be required to appoint an energy manager, monitor and report their energy use to the NEA, and develop and submit their energy efficiency improvement plans. NEA is currently consulting with companies on the detailed requirements under the proposed Act.
12 To help companies make a smooth transition from unknowingly wasteful energy practices to the more rigorous demands of the new regime, NEA introduced the Energy Efficiency National Partnership, or EENP, in April this year. The EENP seeks to help companies build up the necessary capabilities in preparation for mandatory energy management requirements. EENP partners can leverage on government incentive schemes to support their energy efficiency initiatives, network with other companies, participate in benchmarking studies, gain access to energy efficiency best practices and case studies, participate in study trips on energy efficiency, and receive national recognition for their achievements in energy efficiency.
13 Currently, NEA has 77 partners under the EENP. They are mainly from the chemicals, oil, electronics, wafer fabrication, pharmaceutical and power generation industry. Since the launch of the EENP, activities such as workshops and seminars have been organized for EENP partners. Some of the topics pertained to improving industrial energy efficiency, waste heat recovery and financing for energy efficiency.
14 The EENP is open to companies in the manufacturing sector who are interested in improving their energy efficiency and implementing energy management practices. Companies here who are interested in participating in the EENP are welcome to approach NEA for more information. We are also reviewing the existing incentive schemes as well as exploring energy efficiency financing options to better cater to the needs of companies.
Conclusion
15 In conclusion, I reiterate that sustainable development is a key priority for Singapore because it paves the way for a cleaner, greener environment. With a mere 710 sq km of land size, every part of this island is precious and a resource, we need to safeguard for future generations. We have set goals under the Sustainable Singapore Blueprint that will help Singapore continue to grow and prosper but in a responsible manner. To achieve these goals, it is imperative that we receive full support from the business community, and indeed from each and everyone in Singapore.
16 I wish you all a fruitful conference. Thank you.