Under the Energy Efficiency Fund (E2F), the National Environment Agency of Singapore has increased its grant for Energy Efficient Technologies up to 20% starting last month, the supported maximum was raised from 50% to 70% of qualifying expenditures per project.
This lowers the barrier for industrial enterprises, including SMEs, to adopt energy-efficient solutions that will help them save money on energy and cut their carbon emissions. The E2F grant application and pay-out process were simplified to save time and money for applicants.
The Energy Efficiency Technology Centre (EETC), which provides low-cost energy evaluations for SMEs, will also be developed in collaboration with the Singapore Institute of Technology (SIT). These policies will assist manufacturing SMEs in identifying and funding energy efficiency projects, as well as preparing for a low-carbon future.
The E2F was introduced in April 2017 and is administered by the NEA. It helps industrial organisations, including small and medium-sized businesses (SMEs), increase their energy efficiency. The E2F supports a variety of energy efficiency and low-carbon activities, including energy assessments and resource-efficient facility design. Currently, the E2F grant scheme co-funds up to 50% of such projects’ qualifying costs.
The E2F has financed 27 energy-efficient technological initiatives as of January 2022. LED lighting, high-efficiency air-conditioning systems, variable-speed air compressors, and boiler systems are among them. These projects have saved an estimated 1,600 tonnes of carbon each year, which is the equivalent of taking 500 cars off the road.
The amount of money given to projects will depend on how much carbon is saved. Higher financial funding is available for projects that deliver greater carbon reduction. From April 1, 2022, E2F applications accepted by NEA will be eligible for this higher support cap. The sector is encouraged to take advantage of the increased funding and invest in energy-efficient solutions as soon as possible.
NEA is also making it easier for businesses to use the E2F to save time and money. The procedure of measuring and verifying energy savings will be simplified, the same with the grant application and payment processes for conventional retrofit projects involving LED lights or small energy-efficient air conditioners.
Companies just getting started on their energy efficiency journeys should take advantage of the EETC’s affordable energy evaluations, which have been available since 2020 as a collaboration between the NEA and the Singapore Institute of Technology (SIT).
The energy assessments will assist businesses in obtaining an accurate view of their present energy profile, allowing them to make informed decisions about the energy efficiency improvements they may make.
Aside from energy assessments, the EETC is also working to grow Singapore’s workforce, including training a pipeline of engineering students in industrial energy efficiency and upskilling existing engineers or energy efficiency practitioners.
As Singapore transitions to a low-carbon economy, NEA will collaborate with SIT to build the next phase of the EETC, which will focus on developing human capacities in energy efficiency. The EETC will be improved by the establishment of a training and simulation centre, which will allow learners to study and practice their craft in a controlled and safe environment while simulating real-world settings.
The grant aims to encourage manufacturers, particularly small and medium-sized businesses, to invest in energy-efficient equipment or technology by co-funding up to 70% of eligible costs, such as external labour, equipment, or technology, as well as professional services.
The award is available to any Singapore-registered owners or operators of existing or planned manufacturing facilities with a group annual sales turnover of less than S$500 million. The project’s implementation facility must be located and operational in Singapore.
The project must include the installation and usage of energy-efficient equipment or technology at an industrial facility with a documented track record of energy savings. The project must result in energy savings that can be measured and verified.
