Under the leadership of Michelle Tan, Singapore is cleaning up the murky carbon exchange market, making it more accessible, transparent, and accurate for all players. Southeast Asia holds some of the world’s most valuable carbon reserves that can be managed to generate carbon credits for companies looking to offset their emissions. But a lack of standardization of the quality and integrity of carbon credits has slowed the development of a robust global carbon market.
Tan, vice president of environmental sustainability for Singapore’s Economic Development Board, aims to leverage Singapore’s position as a global commerce and trading hub to develop a world-class carbon energy exchange. More than 100 carbon services and trading firms have already set up shop in Singapore. In July, the EDB, a government agency under the Ministry of Trade, launched a Carbon Market Alliance to connect carbon credit suppliers with local companies looking to meet their corporate climate goals. In October, the country also launched the Singapore Emission Factors Registry, a database that helps local businesses track their greenhouse emissions more accurately.
“Carbon markets are not easy to navigate…rather than being discouraged, this is the time to channel our collective will and advance the carbon markets,” Low Yen Ling, Senior Minister of State, Ministry of Trade and Industry, said at the launch of the Singapore Carbon Market Alliance. “The Singapore Carbon Market Alliance will be a significant convening platform for Singapore’s carbon services and trading ecosystem. It will bring together businesses with strong climate commitments, trusted carbon services firms, as well as government agencies to share expertise and networks.” As Tan put it recently: “When the private sector, government and non-profit sectors unite, competition takes a back seat to the greater goal: decarbonising the world.”