Incentives

Energy Efficiency Improvement Assistance Scheme (EASe)

Source: www.edb.gov.sg
Source: www.edb.gov.sg

This scheme aims to encourage manufacturing and building companies to conduct studies on their energy usage such as energy assessments, so that companies are able to evaluate their usage and improve on any areas. This would lead to more efficient energy usage. National Environmental Agency (NEA) aims to achieve this goal by co-funding up to 50% of the cost for engaging an expert in carrying out these energy assessments.

By encouraging companies to gather feedback by engaging an expert, they can decide on how to improve their energy usage behaviour. The expert may also help companies set goals for better energy use in the future hence this acts as a motivation to take a course of action. Government’s co-funding of half of the cost also provides an large enough incentive for companies to engage in the expert.

Grant for Energy Efficient Technologies (GREET)

Source: www.un.org
Source: www.un.org

Another good scheme administered by NEA and Economic Development Board (EDB) is the GREET scheme where it aims to encourage industries to invest in energy efficient technologies. It offers assistance for funding for up to 20% of the costs (which includes equipment, manpower and services) and is capped at $4 million per project.

This scheme targets efficiency behaviour and this is effective as it is only a one time decision which has long-term effects. The  government assisting in reducing the large initial cost of investing in efficient technology will lead to increased likelihood that companies will make the move to invest. This is because savings can be incurred over time and it also signals as a higher standard of operation for the company.

Green Vehicle Rebate

Source: www.clean-greencars.com
Source: www.clean-greencars.com

This is an incentive to encourage people to drive green vehicles which are less damaging to the environment as they give out less pollutants. Owners of electric,  petrol-hybrid hybrid, Compressed Natural Gas (CNG) and bi-fuel vehicles are able to enjoy rebates for the cost of their car: up to 40% for passenger cars, 10% for motorcycles and 5% for buses and commercial vehicles. According to Singapore’s sustainable development blueprint, Singapore aims to improve fuel efficieny for both private and public transports. For public transport, they are testing hybrid vehicles for buses and a Green Mark framework for train systems is also developed.

Monetary incentives can motivate people to purchase these more green cars. By giving rebates for the higher cost of these vehicles, individuals may consider the option to buy greener cars instead of normal ones. The green label which is placed on the car also serves as motivation as it is an opportunity for individuals to show that they are an environmentally-friendly person.

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