During the World Climate Action Summit a senior Minister announced that Singapore is aiming to raise USD 6.6 billion in green funding for Southeast Asia by creating international partnerships.
At home, Singapore is raising its climate targets, setting a goal of reaching net zero by 2050, and reducing emissions to 60 million tons of carbon dioxide equivalent in 2030. By comparison, according to the old target emissions were to peak at 65 million tons in 2030, and drop to net zero by 2050. Moreover, Singapore’s carbon tax will be increased from SGD 5 (USD 3.7) per ton currently to SGD 25 (SGD 18.6) per ton from 2024, and progressively to SGD 50 (USD 37) to SGD 80 (USD 59.5) per ton by 2030, making it one of the highest in Asia.
To improve regional cooperation, Singapore will inaugurate a new blended finance initiative, known as the Financing Asia’s Transition Partnerships (FAST-P), that will mobilize up to USD 5 billion. This strategy will involve obtaining cheaper sources of funding like grants, and non-commercial loans from the public sector, to make marginally bankable projects less risky to attract private-sector financing. The fund will be directed to transition projects, including measures by carbon-intensive companies to lower their emissions, and marginally bankable green projects. It is calculated that Asia will need approximately USD 1.7 trillion in climate and infrastructure investments each year through 2030 to decarbonize its economies.
Moreover, Singapore will be sharing its findings from a local research initiative on climate science and the regional impacts of climate change, so that neighboring countries can better adapt to its impact through enhanced food, water, and heat resilience, or through coastal and flood protection.
Singapore is also baking a range of global initiatives for “collective and inclusive” climate action. For instance, the city-state supports the Global Renewables and Energy Efficiency Pledge, with the goal of tripling of the global installed capacity of renewable energy sources to 11 terawatts by 2030.
(Source: The Straits Times)