Introduction of CPA
The CPA is a key step in Singapore’s climate strategy, introduced to help reduce Greenhouse Gas emissions and support the transition to a low-carbon economy. The carbon tax is first introduced through CPA and its accompanying regulations on 1 January 2019. The carbon tax mechanism is supported by a robust measurement, reporting and verification (MRV) framework.
The carbon tax is applied to all industrial facilities with an annual direct GHG emissions of at least 25,000 tonne of carbon dioxide equivalent. (tCO2e). The initial carbon tax rate was set at $5 per tonne for 2019 to 2023, to provide a transition period for businesses to adjust. The carbon tax rates will be raised to:
- $25 per tonne in 2024 and 2025
- $45 per tonne in 2026 and 2027
- with a view of reaching $50 to $80 per tonne by 2030
The CPA applies to business facilities in the industry sectors of:
- manufacturing and manufacturing related services
- supply of electricity, gas, steam, compressed air and chilled water for air-conditioning
- water supply and sewage and waste management
CCIC Singapore Pte Ltd is proud to announce our appointment by the National Environment Agency (NEA) as an accredited external auditor for the Verification of Greenhouse Gas Emissions (GHG) under the Carbon Pricing Act (CPA) and the Carbon Pricing (Measurement, Reporting and Verification) Regulations 2018 for all non-complex sectors. You may refer to the NEA website (https://www.nea.gov.sg/) for more details.
Third-Party Verification of Emissions Report
Verification involves an independent and objective assessment of the accuracy of the Emissions Report based on the implementation of the Monitoring Plan. The registered corporation is required to engage an NEA-accredited third-party verifier to verify each taxable facility’s Emissions Report annually, before submitting the Emissions Report to NEA before 30 June of the year following the end of each reporting period. The carbon tax is levied based on the total reckonable GHG emissions stated in the emissions report. The purpose of a verification is to objectively assess the accuracy, completeness of the reported GHG emissions.
A verification engagement comprises four (4) main stages as follows:
- Pre-assessment: To evaluate the verification services including resources such as cost and time required.
- Verification planning: To conduct risk assessment of the facility’s operation and plan for the verification process
- Conducting verification: To carry out the verification activities
- Verification reporting: To submit the verification reports and statement to the NEA
Verification of Greenhouse Gas Emissions (GHG) benefits your Organization
As an NEA accredited auditor, CCIC Singapore Pte Ltd is committed to providing independent verification of GHG emissions. Our verification services ensure that reported GHG emissions are accurate, complete and in compliance with the CPA and its regulations. Our verification can help to enhance your organization reputation and stakeholder confidence on the reported GHG emissions. It provides transparency and demonstrates your environmental commitment in reducing GHG emissions and costs by identifying efficiencies.
CCIC Singapore Pte Ltd has a team of competent specialists to perform the verification activities. Our accreditation covers all non-complex sectors, making us a comprehensive solution for your GHG emissions verification needs.