SINGAPORE: Singapore yesterday passed its Carbon Pricing Bill as it aims to cut emission intensity to 36% lower than 2005 levels by the year 2030.
Eight MPs raised concerns about the bill, demanding more detailed information on what it would entail, although they all said that they supported the reform and agreed that action was necessary to help counter climate change.
According to website Climate Action Tracker, however, Singapore’s reduction plans are highly unambitious as the country is already on course to reducing emission intensity by 40% by that date. However, the website added that the carbon tax should “encourage more renewable energy in place of fossil fuel energy”.
In accordance with the Paris Agreement, the government announced new regulations last year to improve the energy efficiency of electric motors and industrial facilities, with the changes set to come into effect in October of this year.
The latest bill, coupled with these changes, could affect Singapore’s competitiveness as investors may look to neighbouring countries with fewer costs and constraints regarding carbon emissions.
