Carbon Forward Asia 2023 spurs region's sustainability journey

Singapore played host to the inaugural Carbon Forward Asia event on 2-3 May 2023 at the Sands Expo & Convention Centre, marking the start of a new era in carbon trading in the region.

With Asia responsible for over 50% of the world's annual carbon emissions, the event brought together a wide range of stakeholders and experts to discuss present and future policy developments and market opportunities.

Speaking at the event, Minister of State Alvin Tan outlined Singapore's ambitious carbon market goals and its aim to become a hub for climate action and sustainability.

Tan highlighted the urgent need to address the catalysts driving climate change, including human action, the hole in the ozone layer, the burning of fossil fuels, and the rise in waste. He noted the disproportionate impact of climate change on the Asia Pacific region, which is home to the most populous countries on earth and accounts for half of the world's carbon emissions.

He noted that Singapore is well-placed to lead the way in decarbonisation through carbon markets, with the country's carbon tax set to rise gradually to S$80 per tonne by 2030.

Singapore is finalising the environmental integrity criteria for the use of International Carbon Credits (ICCs), which can be used to offset up to 5% of taxable emissions from 2024. The country is also enhancing trust and transparency in carbon credit trading through initiatives like the Climate Action Data Trust (CAD Trust).

Tan also emphasised on Singapore's role in catalysing the building of credible carbon markets, with the country playing an active role in co-facilitating discussions on Article 6 of the Paris Agreement at COP26 and COP27.

“Singapore can catalyse international cooperation to achieve climate goals the climate goats that we set,” Tan said, adding that the country has been actively fostering Article 6 partnerships with other countries and building a strong ecosystem of local and international players to fully harvest the opportunities of carbon markets.

He further welcomed the establishment of the International Emissions Trading Association (IETA) office in Singapore this year to advance carbon market solutions in the region, and encouraged other companies to “set up, expand your offerings in Singapore, use our networks as a trusted financial, services and commodities trading hub to grow your businesses, to learn more and to collaborate.”