Despite global economic headwinds, Singapore is ramping up efforts to grow its carbon services sector through increased funding and workforce development.
At the GenZero Climate Summit on May 5, Manpower Minister Tan See Leng announced a range of initiatives to boost carbon trading, which plays a key role in both economic growth and emissions reduction.
The Economic Development Board (EDB) has injected $20 million into its Carbon Project Development Grant, aimed at helping local firms develop high-quality carbon credit projects. This funding comes from a newly launched donor-advised fund backed by EDB and Temasek Trust, encouraging contributions from family offices and philanthropic sources.
The grant will help bridge financing gaps in early-stage projects, covering feasibility studies and helping secure long-term credit buyers. Initial recipients include 3Degrees, Climate Bridge International, and The Nature Conservancy.
Climate Bridge International—a joint venture with a Chinese carbon finance firm—plans to expand local hiring and focus on carbon projects in countries with bilateral agreements with Singapore, such as Ghana, Bhutan, and Malaysia. These projects include reforestation, low-carbon transport, and methane capture.
To address talent shortages, Singapore is also expanding training opportunities. NUS will launch a new professional certificate in carbon services and trading, while NTU’s Carbon Markets Academy offers a nine-day foundational course. SkillsFuture Singapore has released a national framework outlining career paths and required competencies in the sector.
The carbon services sector in Singapore now comprises over 150 companies, double the 2021 figure, including project developers, credit traders, and verification specialists. A study by EDB and Enterprise Singapore projects the sector could contribute between US$1.8 billion and US$5.6 billion in value-added growth.
While global carbon markets face challenges like inconsistent standards and financing gaps, Minister Tan emphasized the importance of continued investment to unlock long-term opportunities in sustainability and climate solutions.
