Frequently Asked Questions (FAQs)

The Eligibility List shows the carbon crediting programmes and methodologies that adhere to the Eligibility Criteria. The National Environment Agency of Singapore (NEA) will review and update the Eligibility List from time to time. In particular, the Eligibility List will be reviewed annually to maintain relevance and uphold high environmental integrity standards, based on the latest science and evidence.

NEA signed Memoranda of Understanding with carbon crediting programmes,  to leverage their capabilities in ensuring that carbon credits issued under their registries are robustly validated, verified, issued, and retired. This will facilitate Singapore-based companies in exercising the option to use high-quality international carbon credits to offset up to 5 per cent of their taxable emissions from 1 Jan 2024.

The carbon crediting programmes and methodologies that are eligible may be different for each host country, as host countries also have their own criteria. The Eligibility List for each host country would be agreed under the respective Implementation Agreement, which sets out the framework and processes for the generation and international transfer of carbon credits aligned with Article 6.

The carbon credits must be authorised for corresponding adjustment and fall under the Eligibility List to be used for carbon tax offset.

Authorised projects that may generate eligibility carbon credits will be listed on a project register on Singapore’s Carbon Markets Cooperation website.

As part of the carbon tax administration process, carbon tax-liable companies will also submit the Notice of ICC Use to the National Environment Agency of Singapore for confirmation on the eligibility of ICCs the company has identified before using them to offset their taxable emissions.

The authorisation process is detailed under the Overview and Processes section of each country’s Implementation Agreement page. This may differ across Implementation Agreements, as they are agreed upon by both countries.

Generally, to seek authorisation under the respective Implementation Agreement, project applicants should submit the required forms and documents. Singapore and the host country will assess the project to ensure that they meet the environmental integrity criteria of the respective country, and other domestic requirements.

Existing projects that have already been implemented may still be considered for authorisation, provided they meet both countries’ applicable domestic laws, regulations and administrative framework.

Singapore is working closely with partner countries to sign and effect the Implementation Agreements. However, the timeline varies as there are differences among partner countries in the infrastructure, frameworks and processes.

Singapore will continue to actively engage partner countries to sign and effect Implementation Agreements on carbon credit collaboration.