The Monetary Authority of Singapore

7/29/2019 The Monetary Authority of Singapore

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The Monetary Policy of Singapore carries out the full range of central banking functions related to the

formulation and implementation of monetary policy.

Monetary policy objective is price stability over the medium-term as the basis of sustainable economic

growth. As monetary policy in Singapore is centred on the management of the trade-weighted exchange

rate, MAS carries out foreign exchange operations to ensure that the Singapore dollar nominal effective

exchange rate remains within the policy band.

Monetary Policy also conducts money market operations to provide sufficient liquidity for a well-

functioning banking system and to meet banks' demand for reserve and settlement balances.



Singapore’s monetary policy has been centred on the management of the exchange rate since the early

1980s, with the primary objective of promoting medium term price stability as a sound basis for

sustainable economic growth. The choice of our monetary policy regime is predicated on the small and

open nature of the Singapore economy.

There are three main features of the exchange rate system in Singapore.

1. The Singapore dollar is managed against a basket of currencies of our major trading partners.

2. MAS operates a managed float regime for the Singapore dollar with the trade-weighted exchange

rate allowed to fluctuate within a policy band.

3. The exchange rate policy band is periodically reviewed to ensure that it remains consistent with

the underlying fundamentals of the economy.

INTRODUCTION

1 In October last year, MAS increased slightly the slope of the S$NEER policy band, with no change to

the level at which the band was centred. This policy decision was made in light of upside risks to

inflation amidst sustained high levels of domestic economic activity. At the same time, the policy band

was widened slightly to accommodate volatility across international financial markets.

Chart 1

S$ Nominal Effective Exchange Rate (S$NEER)

2 Since then, the S$NEER (Chart 1) has appreciated gradually within the upper half of the policy band.

This took place in the context of a general strengthening in regional currencies given broad-based

weakness in the US$ and continued investor interest in higher-growth Asian and emerging markets.

Amidst conditions of abundant global liquidity, the domestic three-month interbank rate has eased further

since end-October last year to 0.44%.



OUTLOOK FOR 2011

3 The Singapore economy saw a step-up in the level of economic activity in Q1 this year following a

slowdown in H2 2010. According to the Advance Estimates released by the Ministry of Trade and

Industry today, Singapore’s GDP expanded by 23.5% on a quarter -on-quarter seasonally adjusted

annualised basis in Q1 2011. The expansion was broad-based across the trade-related1 and services

sectors, reflecting an improvement in final demand.4 The global economy is expected to grow at a moderate pace in 2011, notwithstanding the increased

uncertainty arising from the spike in oil prices and the calamity in Japan. Supported by a gradual

improvement in the labour market and accommodative fiscal measures, the US economy should continue

on its recovery path. In Asia ex-Japan, resilient household spending and a pickup in business investment

are expected to underpin growth. In Singapore, while a temporary slowdown is forecast for Q2,

economic growth is projected to be sustained across a wide range of industries for the rest of the year.

Reflecting in part the robust expansion in Q1, GDP growth for the year as a whole is likely to be at the

upper end of the 4-6% forecast range.

5 CPI inflation rose from 3.4% in Q3 2010 to 5.2% in the first two months of 2011, while MAS

Core Inflation2 remained at around 2%. The increase in headline inflation was largely due to a sharp rise

in COE premiums and imputed rentals, but the contribution of these two factors will ease as base effects

dissipate. However, wage pressures have been building up amidst a tightening labour market. Although

the pass-through of wages to services costs has been relatively muted so far, the pass-through could

strengthen given firm economic conditions. On the external front, global oil and food prices have

increased and will remain high. Taken together, headline inflation is forecast to stay elevated and will

moderate only gradually to around 3% by Q4 2011. For the whole year, CPI inflation is expected to come

in at the upper half of the 3-4% forecast range3 while MAS Core Inflation will be 2-3%.

MONETARY POLICY

6 Economic activity is likely to be sustained at a high level for the rest of the year, even as the

underlying growth momentum moderates. With factor markets tight, domestic cost and price pressures

will remain firm.

7 MAS will therefore re-centre the exchange rate policy band upwards. The exchange rate policy band

will be re-centred below the prevailing level of the S$NEER. This adjustment takes into account the

tighter policy stance adopted in April and October last year, which will continue to have a restraining

effect on the economy and prices. There will be no change to the slope and width of the band. This

policy will ensure price stability in the medium term while keeping growth on a sustainable path.

***

http://www.mas.gov.sg/News-and-Publications/Monetary-Policy-Statements-and-Speeches/2011/Monetary-Policy-Statement-14Apr11.aspx#fn1











1 These comprise manufacturing (excluding pharmaceuticals), wholesale trade and transport & storage

services.

2 Excludes the cost of private road transport and accommodation.

3 The 2011 CPI inflation forecast was revised upwards to 3-4% at MTI’s Annual Economic Survey

media briefing on 17 Feb 2011.



AGRICULTURE DEVELOPMENT IN SINGAPORE

Decision-Making: Coordinating Bodies

The Agricultural Policy is implemented by the Primary Production Department (PPD), Ministry of

National Development, and it forms an integral part of the Department’s overall food policy of ensuring a

stable and adequate supply of safe, wholesome and quality meat, fruits and vegetables in Singapore. PPD

is the national authority dedicated to safeguarding the health of people, animals, fish and plants through

advanced technology in agriculture, fisheries and veterinary science.

Decision-Making: Strategies, Policies and Plans

The National Agricultural Policy of Singapore aims to develop the limited agricultural areas, both land

and sea, to produce prime quality food and to serve as benchmarks on quality and pricing for imports and

exports (i.e. export of ornamental fish and plants).

Programmes and Projects

Integrated pest management is practised in the farms. (e.g. netted vegetable production and hydroponics

to reduce the use of pesticides in the vegetable production). Singapore's agro technology parks were built

following its Ministry of Environment's anti-pollution guidelines. All land in Singapore is utilised

according to its National Master plan. About 1500 ha of land is reserved for our Agro technology Park

Development while 500 ha is reserved for our Marine Park development.

Status

Agriculture is of very limited significance to the Singapore economy, representing only 0.1 per cent of GDP, estimated at S$134 billion (US$84 billion) in 1998. Agriculture products include vegetables, eggs,

fish, milk, and ornamentals, namely orchids and other ornamental plants, and ornamental fish.

Approximately 90 per cent of food consumed in Singapore is imported. In 1998, value of total supply of

primary produce was S$2 billion.

Singapore is an island city state consisting of a total land area of 647 sq km. With limited land and sea

resources for agriculture, Singapore’s agricultural developments take place mainly in allocated areas,

called Agro technology Parks on land and Marine Parks at sea. These Parks are developed and managed

by the Department, and cover a total of 2,000 ha, with 1,500 ha for Agro technology Park development

and 500 ha for Marine Park development. Agro technology is the application of modern science and



technology to large-scale, intensive farming so as to optimise use of resources and increase yield and

productivity in the farm. It is the aim of the Department that, in the long-term, Singapore could develop to

become an agro technology centre focussing on tropical and urban agriculture.

There are six Agro technology Parks, with 441 farms occupying some 1,034 ha (1998 figures), producing

vegetables, eggs, fish, milk, as well as ornamental plants and fish. Usually the Parks have a mix of farms.

This is to minimise spread of disease specific to a single type of species of plant or animal and to

minimise environmental impact and pollution. Adjacent to the Lim Chu Kang Agro technology Park, a 10

ha Agri-Bio Park has been established, which is dedicated to agri-biotechnology investments. The Marine

Parks are for marine fish farming, there being five Parks with 90 floating fish farms producing both

finfish and shellfish. The Department regulates the number of floating farms in each Park so as to prevent

water stagnation and poor water quality within the farming site. The agricultural products, with the

exception of the ornamentals, are destined for domestic consumption, which is relatively high, in terms of

per capita consumption. Example: per capita consumption of chicken is 32 kg, pork 23 kg, fish 26 kg,

vegetables 77 kg, and fruits 82 kg.

Agriculture activities in Singapore can be broadly classified into 12 categories, viz,

Food fish:

1. Food fish production in floating cages at sea;

2. Food fish production on land-based ponds/tanks,3. Ornamental fish production in ponds/tanks;

Animals:

4. Hen’s egg production;

5. Production of duck, quail and other game birds;

6. Farming of dairy cattle and goats;

7. Farming of Frog and Crocodile;

8. Breeding of exotic birds.

Plants:

9. Vegetable production;

10. Fruit growing;

11. Orchid and ornamental plant production;

Aquatic Plant production.



Singapore imports 90% of its food supply as it is not self-sufficient.

Capacity-building, Education, Training and Awareness-raising

The Government has initiated extension services to farmers, education programmes and visits to the farms

in its Agro technology Parks.

Information

ATMOSPHERE


The key ministries and bodies involved in the issues related to climate change and sea-level rise are the

Ministry of the Environment, Ministry of Trade & Industry and Attorney-General’s Chambers.

Decision-Making: Legislation and Regulations

The Montreal Protocol (1987) was acceded to on 5 January 1989, and the London Amendment (1990) was

acceded to on 2 March 1993. The latest report to the Montreal Protocol Secretariat was prepared in 1995.

The United Nations Framework Convention on Climate Change was signed on 13 June 1992.


The strategy adopted in Singapore is to take no-regrets measures such as promoting energy efficiency. As

a long-term measure to alleviate flooding, all development of land would need to comply with a

requirement of a minimum platform level that is above the predicted flood level. Low-lying areas thus

have to be raised in order to meet the requirement before the land can be built upon. The requirement is

imposed during the planning process.

Decision-Making: Major Groups involvement

Depending on the issues at hand, the relevant groups have been invited to participate in the formulation of

policies or to provide feedback on proposed policies. Various channels have been employed and these

include setting up formal committee, organising forum or specific feedback sessions and regular dialogue

sessions.


The key programmes that address issues related to climate change and sea-level rise are the following:

Switch from fuel oil to natural gas;

Promote energy efficiency in both supply and demand sides;



Provide an efficient and comprehensive public transportation to curb growth in vehicle population

and use;

Waste minimisation programmes (e.g. Green label scheme);

Programmes to encourage the corporate sector to integrate environmental concerns into their

businesses e.g. a national committee to promote ISO 14000 )

Status

Singapore has adopted a multi-pronged approach to reduce and eventually phase out the consumption of

ozone-depleting substances (ODS). The Ministry of the Environment (ENV), acting as a focal point

between government agencies, is responsible for formulating strategies and policies to control the use of

ODS in industries. The Ministry of Trade and Industry, through the Trade Development Board,

administers a Tender and Quota Allocation System to cap the consumption of ODS in accordance with

guidelines set by the Protocol. The system ensures an equitable distribution of the controlled supply of ODS to registered distributors and end-users. The government and the private sector have collaborated in

various activities under this programme.

To keep carbon dioxide emission level as low as possible, action programmes have been formulated to

promote energy efficiency and resource conservation. Power generation is from fuel oil and natural gas

and accounts for about half of the carbon dioxide emission. To improve efficiency, combined-cycle

technology is being introduced wherever it is technically feasible to do so. Resource conservation

programmes aim to minimise use of energy, water and other raw materials and hence to reduce waste

generation.

Financial and technical assistance schemes have also been made available to help industries switch to

non-ODS substitutes or alternatives. The Singapore Productivity and Standards Board (PSB) provides

technical consultancy to small and medium enterprises wishing to switch to ozone-friendly processes

under the Local Enterprise Technical Assistance Scheme. Companies which require financial assistance

can seek grants through the PSB which administers the Local Enterprise Finance Scheme (forconcessionary loans) and also approach the Economic Development Board for the Investment Allowance

Scheme (tax allowance for approved investment in new equipment).

Climate change and sea level rise

Coastal and low-lying areas would be affected by a sea level rise, if preventive or adaptative measures are

not taken. The long-term measure to alleviate flooding is to require all developments of land to comply

with a minimum platform level that is above the predicted flood level. Low-lying areas thus have to be

raised in order to meet the requirement before the land can be built upon.



The main issues relating to climate change and sea level rise in Singapore are the total dependence on

imported fuels for energy needs, and the limited scope to develop renewable energy sources. Using

resources in an efficient way to stay competitive and to contain growth in greenhouse gas emissions .

Financing

The costs for implementing plans for adaptation to sea-level rise are borne by the developers and includedin the cost of development. Activities related to climate change and sea level rise are financed by the

individual developers, most of which have their own source of funding.

Cooperation

Singapore participates in the IPCC programmes and meetings.

Singapore has Regional Fire fighting Arrangement for Sumatra on haze.

BIODIVERSITY


National Parks Board, Ministry of National Development is responsible for biological diversity.

The designated land planning agency obtains the views and feedback from all the concerned parties

before making decisions on land-use.


National Parks Act, Parks and Trees Act, Endangered Species (Import and Export) Act, The Wild

Animals and Birds Act and The Control of Plants Act address the issues of biological diversity.


The Singapore Green Plan documents Singapore’s approach to environmental management, of which

nature conservation is one component.


Participation of community groups for the protection and conservation of biological diversity is

encouraged through the following activities:

Clean and Green Week;

National Youth Achievement Award;

Schools curriculum-based and extra-curriculum activities;



Extension courses by the School of Horticulture (SOH);

Activities by the Singapore Environment Council; and

The National Parks Board’s Adopt-a-Park Programme and Reforestation Programme which

involves schools and youth organisations.


The following main activities and programme are underway:

Formulation of policies on nature conservation, access to genetic resources and biosafety;

Identification and safeguarding representative ecosystems;

Survey, stocktaking and monitoring biodiversity of indigenous species;

Restoration ecology projects;

Setting up of databases on biological diversity;

Co-ordination and identification of scientific research projects that are pertinent to the

documentation and management of biodiversity; and

Awareness and conservation education programmes targeted at schools and the general public.

Status

Inventory and monitoring of indigenous species, and competing land use demands are the main issues

relating to biodiversity management in Singapore. The major constraints to effectively implementprogrammes on biodiversity are related to competing demands for very limited resources, and insufficient

staff.

About 5 % of the land area is naturally vegetated.

A biological survey of the Nature Reserves that comprise of the largest area under natural vegetation has

just been completed. The data collected is currently being used to identify management priorities and

form the basis for future research and monitoring. Inputs on nature conservation are considered in theplanning and development processes.


Campaigns or other efforts to raise awareness of issues related to sustainable development and

biodiversity resources include:

Clean & Green Week; and

The Singapore Environment Council’s programmes and activities, e.g. Earth Day celebrations

Information



Singapore has biological diversity, socio-economic and present land use data, and proposed land-use

information for decision-makers and planners working in the area of biodiversity resources.

Click here for information on land use in the form of Development Guide Plans

http://www.ura.gov.sg/dgp_reports/lib-dgp_report.html

Research and Technologies

Biosafety is a field in which Singapore is active for development, transfer and use of environmentally

sound technologies.

Safety to human health is accorded top priority when decision on choosing technologies are made.

Financing

This sector is financed by the national budget. Private sector partnership for some projects.

Cooperation

Singapore is Party to:

Convention of Biological Diversity;

Convention on International Trade of Endangered Species; and

Association of Southeast Asian Nations (ASEAN) Working Group on Nature Conservation.

Other international co-operation includes:

ASEAN Regional Centre for Biodiversity Conservation (ARCBC); and

ASEANET (Southeast Asian Loop of BioNet).

Benefits of the cooperation include: harmonised policies can be adapted (e.g. biosafety, access to genetic

resources)

Problems: Not easy to get all the participatory members to be equally committed.

ENERGY


The Ministry of Trade and Industry is responsible for energy resources.




Ministry of the Environment, Ministry of Trade and Industry and Attorney-General’s Chambers.

A national inter-agency committee on energy efficiency comprising government ministries, statutory

boards and academics from the universities has been formed to review and study issues related to

improving energy efficiency on a national basis.


Codes of practice on energy conservation include:

Part 1: Coefficient of Performance of Air-conditioning equipment

Part 2: Ventilation and Air-conditioning system

Part 3: Procedure for determination of a lighting power budget

Code of practice for mechanical ventilation and air-conditioning in buildings

Code of practice for artificial lighting in buildings.

The codes of practice and standards were drawn up by the Government jointly with the industry. Unlike

the Building Control Regulations, compliance with the codes of practice is voluntary.


The national policy relating to energy resources covers issues on pricing, energy conservation, efficiency

in energy production, and diversification in fuel supplies. The main policy measures are:

Pricing

1. Letting market forces of supply and demand determine energy price ensures that energy is used more

efficiently.

2. Regular review of electricity and gas tariffs to ensure that they are cost reflective.

Energy Conservation

3. Promotion of energy conservation through a combination of financial incentives and disincentives and

through education.

4. Incorporation of a set of energy conservation standards for building design into the Building

Regulations.

5. Design of fiscal policies to encourage the public to use smaller, more efficient vehicles.



6. Encouragement in the use of public transport.

Efficiency in Energy Production

7. Achieving greater efficiency through market competition in the generation and sale of electricity.

Diversion of Energy Supplies

8. Energy diversification through the use of natural gas in addition to oil.

Government legislation for energy conservation comes under the Building Control Regulations, 1989.

The energy conservation requirements under the Building Control Regulations stipulates that the building

envelope overall thermal transfer value (OTTV) of an air-conditioned building shall not exceed 45 W/m 2.


The process of national decision-making for issues related to energy resources involves members from

the Government, business, industry and the science and technology community.

Status

Almost all of Singapore’s energy needs are imported. With the current technologies in renewable energy

development, the potential for increasing energy supply through renewable energy is relatively small.

The main issues relating to climate change and sea level rise in Singapore are the total dependence on

imported fuels for energy needs, and the limited scope to develop renewable energy sources. Using

resources in an efficient way to stay competitive and to contain growth in greenhouse gas emissions .


The inter-agency committee on energy efficiency comprising the government, statutory boards and

academia was formed to review the current status of energy usage in order to identify opportunities and

make recommendations to improve the overall national energy efficiency.

Energy management courses are conducted by the Public Utilities Board jointly with the polytechnics and

universities. These courses are targeted mainly at working technical staff and professionals.

Workshops and seminars and talks are also organised for the different sectors of the industry on a regular

basis.

The Singapore Green Label Scheme, administered by The Ministry of the Environment, is a voluntary

scheme for consumer appliances such as computers, air-conditioners, refrigerators, etc, to be awarded the

green label for efficient use of resources.



The annual national ‘Clean & Green’ week, held in the month of November every year, also raises the

awareness of issues related to sustainable development and energy efficiency.

Other campaigns and programmes include: a two-day energy conservation awareness programme

conducted for school children, on an on-going basis; periodic Save Energy Campaigns and educational

programmes aimed at promoting energy conservation; establishment of a permanent exhibition open to

the public in the Energy Conservation and Exhibition Centre; and the Energy Audit, an on-going service

provided by the Public Utilities Board (Energy Conservation centre) to promote energy efficiency in the

corporate sector.

Information

The kinds of information available to decision-makers and planners include:

Energy audits and surveys of industry sectors, and energy balance data.

The relevant information is made available through various reports and publications.

Plans are underway to develop benchmarks on electricity usage to enable consumers to know whether

they are using electricity efficiently.


There is limited scope for development of renewable energy source in Singapore.

Only commercially proven and viable technologies are considered. In addition to this consideration

decisions are made based on economic cost-benefit and environmental impact analyses.

Financing

Until recently, power generation was solely a government-owned development and operation. The

financing was thus from the national budget. The private sector can now develop and operate power

plants. Industries can also generate their own power if they wish to. The private sector seeks their own

source to finance the venture.

The costs for implementing plans for adaptation to sea-level rise are borne by the developers and included

in the cost of development. Activities related to climate change and sea level rise are financed by the

individual developers, most of which have their own source of funding.

Cooperation



Singapore is involved in the Energy Working Group (EWG) of the Asia Pacific Economic Cooperation

(APEC), and ASEAN Energy Ministers’ Forum.

FORESTS


Although Singapore does not have as such a national forest programme, under the context which is

commonly understood, nevertheless, the Singapore Green Plan has identified 19 nature areas that

represent different ecosystems in Singapore and action programmes have been implemented to survey

their biodiversity and monitor their health status. There is a mechanism whereby nature conservation

considerations are incorporated into the planning and development processes. The Singapore Green Plan

promotes the "Recycle, Reuse, Reduce" practice.

Status

The forests of Singapore are not commercially exploited for timber or other timber products nor are there

any indigenous people foraging in the forests of Singapore for their subsistence. The natural areas of

Singapore are, hence, conserved primarily for ecological, educational, recreational, and scientific

purposes. Paper is recycled by commercial companies.

Information

Singapore submitted her "First National Report Under the Convention on Biological Diversity" in

December 1997 to the Secretariat of the Convention on Biological Diversity (CBD). The report can be

viewed on the website of CBD, i.e., www.biodiv.org.

Cooperation

Singapore has not participated in the IPF process.

FRESHWATER


In Singapore, the Public Utilities Board (PUB) is responsible for management of freshwater resources. It

is the statutory board responsible for the provision of an efficient and reliable supply of potable water to

http://www.biodiv.org/






the nation at the most economic cost. PUB is under the purview of the Ministry of Trade and Industry that

is responsible for economic policies in Singapore. In the management of local water resources, PUB co-

ordinates with various government ministries and agencies, such as the Ministry of National Development

on land-use, Ministry of the Environment (ENV) on control of water pollution control of water pollution,

and Ministry of Law in regard to legislation and regulations. PUB maintains close liaison with the

relevant government agencies on expansion of the water supply network and on integrated land use

planning that includes pollution control of run-offs.


PUB, together with other government bodies, are empowered under the following legislation and

regulations to protect the water catchments, water courses and reservoirs:

Public Utilities Act;

The Public Utilities (Water Supply) Regulations;

The Public Utilities (Central Water Catchment Area and Catchment Area Parks) Regulations;

Water Pollution Control and Drainage Act;

The Trade Effluent Regulations;

The Cattle Act;

The Poisons Act;

The Environmental Public Health Act; and

The National Parks Act.

PUB uses the World Health Organisation’s Guidelines for Drinking Water as the standard to monitor the

quality of its potable water.

PUB uses the Singapore Standards (SS) CP 48:1989 – Code of Practice for Water Supply (published by

the Productivity & Standards Board of Singapore). The SS serve as a guideline for architects, professional

engineers and licensed plumbers. Where applicable, the equivalent British Standards and ISO standards

are also used.


Singapore has a national policy that covers all of the major issues relating to freshwater management.

Under the drainage development programme, the Ministry of the Environment (ENV) builds new drains

and canals to reduce flooding in flood-prone areas and to provide drainage outlets for new developed

areas. Singapore also maintains 22 tide-gates to protect low-lying areas against tidal inundation.

PUB has contingency plans and operating procedures to cope with prolonged dry weather situation. These

include early alerting of the public to conserve water.



Singapore’s water pricing policy is based on cost-recovery and support of water conservation objectives.

There are fiscal incentives to promote water conservation in industry and monetary penalties to

discourage wasteful use of water. The water tariff structure comprises two broad categories: (i) domestic

(households) and (ii) non-domestic (industrial and commercial). The water conservation tax, which is a

percentage of water charges, is imposed. Currently, the non-domestic tariff is a flat rate for all

consumption levels while the domestic tariff comprises three consumption block rates. However, since

July 1997, annual tariff adjustments will be made up to year 2000 to bring the domestic water tariffs (for

consumption of 40 cubic metres per month or less) into a uniform flat rate with the non-domestic tariff.

The objective is to reflect the strategic importance of water and to prepare consumers for the higher cost

of water from future sources. Water costs are fully (100 percent) recovered through pricing.

Prevention of pollution of freshwater supplies for potable use is effected through pollution surveillance of

catchments, which includes enforcement action by the relevant agencies, and constant water quality

monitoring.

Water conservation is a national policy in Singapore in view of the limited water resources. A

comprehensive water conservation plan has been formulated to check the growing water demand and

ensure that water is being used efficiently. The plan covers the following aspects:

Public education and publicity programme to raise the level of public awareness on the need to

conserve water;

Mandatory installation of water-saving devices (e.g. self-closing delayed action taps, constant

flow regulators) at non-domestic premises and public places. The use of low capacity flushing

cisterns is also mandatory for new housing developments and residential upgrading projects;

Reuse and recycling of process water by industries;

Substitution of potable water requirement with non-potable water such as industrial water (treated

sewage effluent), seawater and rainwater; and

Audits of large non-domestic installations.


PUB works closely with the businesses and industries, and professional bodies in the formulation of its

policies.

Status

All of the population is served with potable water. All water supplied by PUB is treated to drinking water

standards. Also, 100 percent of sewage is treated.

The water supply comes from both local sources and neighbouring Johor, Malaysia.



Careful and integrated land use planning and a policy that all waste water must be discharged into sewers,

have helped to safeguard these water catchments from pollution. Close monitoring of the quality of the

waterways and reservoirs is carried out to assess the impact of urbanization and the effectiveness of water

pollution control measures. In addition, daily chemical and bacteriological tests are carried out to ensure

that treated water meets the guidelines for drinking water quality set by the World Health Organization.

PUB also has a programme to locate and repair leaking mains. A computer-based system captures

information on leaks, conditions of existing pipelines and customers’ feedback. The information is used

for planning the rehabilitation and replacement of mains.

PUB is looking into tapping the marginal catchments to augment local water resources. It is also

proceeding with the development of the first desalination plant in Singapore. Offshore sources are also

being studied.

Challenges

The priority constraints to implementing effective programmes to address the freshwater issues include

the following:

For households, the price of water is relatively cheap and affordable. However, with the adjustments of

the domestic water tariff to bring it to a flat rate with the non-domestic tariff in year 2000, this fiscal

measure may compel households to be more conscious about conserving water.

For most industries, water cost is a small component of their total overheads. However, fiscal measures

(water conservation tax) and incentive packages such as tax rebates for investment in water conservation

measures (including water recycling) have encouraged industries to conserve their use of potable water.

Moreover, there are institutionalised procedures on the adoption of water saving measures as well as on

the setting up of water intensive industries.


The capacity for treating waste water is 1,056,000 cubic metres per day. The capacity for recycling waste

water is 65,000 cubic metres per day. All water supplies are metered.

PUB has put in place a comprehensive water conservation plan to encourage industries to conserve water.

The PUB Training Centre conducts a course for water service plumbers to enable them to acquire the

necessary knowledge to help them in their work. The Centre also conducts the energy conservation course

and pipeline detection course.



PUB visits large customers to carry out water audits of their installation as well as advise them on water

conservation. PUB also encourages large customers to appoint water controllers to audit and monitor their

consumption closely.

Save Water Campaigns are held to highlight to Singaporeans the need to conserve water and adopt water-

saving habits as a way of life. The campaigns reached out to all sectors – the public at large, households,

schools as well as the non-domestic and industrial sectors. The activities include save water exhibitions,

media advertisements, community events and also seminars with school teachers, the confederation of

industries and the hotel sector to enlist their support of the conservation effort. PUB also regularly issues

media releases on water projects and initiatives to sustain public awareness.

Educating the domestic and non-domestic sectors to save water at all times, and staging of regular save

water campaigns to intensify publicity on water conservation are on-going activities.

Information

The following kinds of national information available to assist both decision-makers and planners

working in the management of freshwater resources:

In the household sector, the recent residential developments include upgrading projects by public and

private sectors. Water-saving devices (taps and sanitary appliances) are made available to professional

bodies and developers. Furthermore, water consumption patterns are examined.

In the industrial sector, the projects related to water consumption of industries, including use of non-

potable alternatives are being planned or approved for implementation.

PUB has its own Web Site on the Internet where the public can access information about the Board.


Decisions related to the choice of technologies are based on considerations such as costs, reliability,

proven technology, environmental impact, proprietary constraints, man power requirement for

maintenance and computerised or automated operations.

The following processes are used for water purification: filtration, coagulation, chlorination, ozonation,

and desalination.

Financing

The capital and recurrent costs of building and operating the water and wastewater treatment plants are

financed by the government and recouped from the users following closely the Polluter Pays Principle by

way of fees and tariffs.



Since 1988, PUB has invested about S$ 831 million in water supply infrastructure.

PUB is a self-funding statutory board. The water tariffs ensure that annual water sales will fully recover

the cost of supplying the water including a reasonable return on investments.

Cooperation

The Public Utilities Board (PUB) is a member of the International Water Services Association and the

Water Supply and Sanitation Collaborative Council.

PUB has responded to requests from the Asian Development Bank and ESCAP to jointly organise

training seminars for their developing member countries.

PUB has also been requested by the World Bank to provide technical assistance for some of the water

supply projects funded by them.

According to Singapore’s earlier submission of information in 1997, Singapore and Malaysia had agreed

on a joint programme to clean up the Straits of Johor that both countries share.

LAND MANAGEMENT


Singapore has one land-use planning authority that handles every aspect of planning from strategic long-

term planning to day-to-day development control.

Coordination among responsible bodies for land management is facilitated by various standing

committees and panels. Some examples are:

- Master Plan Committee: Members include Ministry of the Environment, National Parks, Ministry of

Defence, Land Transport Authority, etc. The committee considers and co-ordinates public department

proposals and resolve conflicts and land uses among the public agencies.

- Waterbodies Design Panel: Members from various agencies work to enhance the aesthetic and

recreational potential of waterways to turn canals running through urbanised areas into richly landscaped

rivers, enhancing the residential developments along them.

- The URA works with various agencies when preparing and reviewing the Concept Plan and Master

Plan.




The strategic Concept Plan balances our land needs and constraints. It includes provisions for long-term

land-intensive uses such as housing and infrastructure as well as development strategies. The Concept

Plan is then translated into the detailed Master Plan, which indicates land-use on every plot of land.

Development control decisions are guided by the Master Plan zoning. The Concept Plan, the Master Plan

and Development Control are all within a single agency, the Urban Redevelopment Authority. This

integrated approach ensures consistency, transparency and long-term sustainability with regards to land

use.

Integrated land management is encapsulated in our system of Concept Plan with the Master Plan

Committee. The first Concept Plan was published in 1971. The Master Plan Committee was formed in the

1960s.


Comments and suggestions from the public are sought at different stages of the land use planning process.

Before the gazette of the Master Plan, a public exhibition is held to obtain feedback and suggestions from

the public. These are incorporated into the plan where possible. The URA Development Control Division

has frequent dialogues with professional bodies to revise rules and guidelines.


In the Concept Plan and Master Plan, 19 nature areas including 2 nature reserves have been identified.

Uses within these areas are strictly controlled by the authorities. To encourage the best possible land use

and sustainable management of land resources, state land is sold by tender for development by the private

sector.

Information

The GIS-based Integrated Land Use System (ILUS) is a land use information system that helps the

planning authority to manage land. Singapore is a small country. It is easy to ascertain land conditionsthrough site inspections, soil tests and topological surveys. The Master Plan provides information on

zoning and development intensity. It is published in print and CDRom.

OCEANS AND COASTAL AREAS




The Maritime and Port Authority of Singapore (MPA) is responsible for marine environment protection

from sea-based activities.

The MPA has established the Marine Emergency Action Procedure (MEAP) to deal with marine

emergencies, including oil spills. The MEAP sets out the roles of various other agencies involved in suchemergencies.

MPA adopts a comprehensive approach towards the protection of Singapore’s marine environment, based

on prevention and preparedness.


Ministry of the Environment, Ministry of Trade & Industry and Attorney-General’s Chambers.


Singapore ratified the United Nations Convention on the Law of the Sea on 17 November 1994.

The regulations set by the MPA on maritime safety and prevention of marine pollution are in accordance

with the provisions of international maritime conventions to which Singapore is party. The Prevention of

Pollution of the Sea Act gives effect to the provisions of Annexes I, II and III of the MARPOL 73/78

convention.The Merchant Shipping (Civil Liability and Compensation for Oil Pollution) Act 1998 giveseffect to the provisions of the CLC92 and Fund92 convention.


The national policy towards the prevention of pollution of the marine environment is based on the

following:

a.

Enhancing safety of navigation;b. Legislation to ensure that ships are designed, equipped, operated and managed to prevent pollution

of the sea, based on internationally adopted regulations; and

c. Strict enforcement of the legislated rules.

Maintaining the highest standard of preparedness includes:

a. Detailed contingency plans to deal with the different marine emergencies that could occur;

b. Regular exercises to ensure the smooth operation of these plans;

c. Adequate compensation to ensure the sustainability of our efforts to protect the marine

environment from spills, through accession to the CLC92 and Fund92 conventions; and



d. Continuous learning to improve our knowledge of the most effective and efficient methods and

technology used in the protection of the marine environment.


When considering whether or not to accede to a particular convention, the MPA holds consultations with

relevant agencies and organisations, which could include Non-Government Organisations, Unions,Business and Industry, and other government agencies.


Specific programmes within MPA’s comprehensive approach to protecting the marine environment

include:

Enhancing safety of navigation Singapore works closely with the neighbours, Indonesia and Malaysia, todevelop measures to enhance safe navigation in the Malacca and Singapore Straits. For example, from

Dececember 1998, the STRAITREP, a mandatory ship reporting system, is being implemented for ships

using the Straits. The introduction of STRAITREP, which is provided for under the International

Convention for Safety of Life at Sea (SOLAS) will contribute towards navigational safety, efficiency of

navigation and the protection of the marine environment in the Straits.

Oil spill combat exercise Singapore conducts regular exercises which involve other government and

private sector agencies. It also conducts joint oil spill combat exercise with the neighbouring countries.

Status

The primary source of sea-based pollution of the marine environment is ships.

Coastal and low-lying areas would be affected by a sea level rise, if preventive or adaptative measures are

not taken. The long-term measure to alleviate flooding is to require all developments of land to comply

with a minimum platform level that is above the predicted flood level. Low-lying areas thus have to be

raised in order to meet the requirement before the land can be built upon. To combat climate change,

Singapore is taking no-regrets measures such as promoting energy efficiency. As a long-term measure to

alleviate flooding, all development of land would need to comply with a requirement of a minimum

platform level that is above the predicted flood level. Low-lying areas thus have to be raised in order to

meet the requirement before the land can be built upon. The requirement is imposed during the planning

process.




MPA participate actively in various local and international fora relating to the capacity building for the

prevention of pollution and the protection of the marine environment.

To raise awareness on issues relating to the oceans and seas, MPA has conducted various seminars and

conferences on subjects such as the Accession and Implementation of the 1992 Civil Liability and Fund

Conventions, and Shipping and the Oceans: Protection of the Marine Environment (in celebration of

World Maritime Day and the International Year of the Ocean).

Information

National information is available on marine pollution, including e.g. details of oil spills in Singapore

waters to assist both decision-makers and planners working in coastal areas

The MPA has patrol crafts within the port waters and Port State Control inspectors to ensure that ships

within Singapore’s waters comply with our national laws and regulations. In this respect, MPA is also

assisted by other government agencies such as the Republic of Singapore Navy and the Police Coast

Guard. In addition, MPA’s collaboration with CRISP provides them with an Oil Spill Slick Monitoring

Programme to monitor oil slick pollution in the waters around Singapore.

MPA is working with the Nanyang Technological University in the integration of numerical modelling

and geographic information system that supports the operation of a numerical model so that the

movement and spread of oil slicks can be simulated more accurately.


MPA is working with the Centre for Remote Imaging, Sensing and Processing (CRISP) to develop

applications of satellite remote sensing for the marine environment. They are also working with 2 local

universities on various projects, such as oil spill and fate modelling, baseline water quality monitoring,

bio-remedy studies for the removal of oil spills, and the numerical modelling of the movement and spread

of oil slicks.

Decisions related to the choice of technologies are determined by suitability of the technology, cost

effectiveness and efficiency.

Financing

Oceans sector is financed usually internally through operational surpluses.

Cooperation



In addition to the Law of the Sea, Singapore is party to the following IMO conventions on maritime

safety and prevention of marine pollution: SOLAS74, COLREG72, LOADLINES66, STCW95, SAR79,

MARPOL73/78, CLC92 and FUND92.

Singapore co-operates with other ASEAN countries and Japan under the Project on Oil Spill Preparedness

and Response (OSPAR) in the ASEAN sea area, which was initiated by Japan. Under the project, Japan

granted ASEAN countries 1 billion Yen to purchase oil spill equipment to reinforce the national

stockpiles in the region. An OSPAR Management Committee, comprising of the ASEAN countries and

Japan, was established to monitor and assess the management and usage of the equipment supplied and to

continue the forum on oil spill matters in the region.

Singapore also co-operates with Indonesia and Malaysia to combat oil spills in the Straits of Malacca and

Singapore.

Relating to climate change and sea level rise issues, Singapore participates in the IPCC programmes and

meetings.

TOXIC CHEMICALS


The Ministry of the Environment controls the disposal of toxic industrial wastes under the Environmental

Public Health (Toxic Industrial Waste) Regulations. A Licence is required before a person granted to 100

companies to collect, treat and dispose of toxic industrial wastes. About 64,880 cu m of chemical wastes

were collected, of which 80% were treated and recycled and the rest treated and rendered safe for

disposal. Hospital wastes are collected separately and disposed of at two dedicated incinerators.


The chemical industry has responded positively to programmes that promote environmentally sound

management of hazardous chemicals and has launched a Responsible Care programme to raise the

standard of environmental care in the industry.

Status

The policy and approach adopted have helped to minimize the generation of hazardous wastes and

promote treatment of these wastes for reuse.

Singapore monitors the transport by ship of hazardous, toxic and nuclear materials through its seawaters.



Cooperation

Singapore and Malaysia have agreed on a procedure to manage the transportation of hazardous substances

across the causeway linking the two countries.

WASTE AND HAZARDOUS MATERIALS

Solid Waste and Sanitation


Ministry of the Environment (Environmental Health Department, Engineering Services Department,

Pollution Control Department) is responsible for waste management.


The following regulations and codes of practice have been developed for waste management.

1. Environmental Public Health Act;

2. Environmental Public Health (Public Cleansing) Regulations;

3. Environmental Public Health (General Waste Collection) Regulations;

4. Environmental Public Health (Toxic Industrial Waste) Regulations;

5. The Hazardous Waste (Control of Export, Import and Transit) Act;

6. Code of Practice on Environmental Health;

7. Code of Practice for Licensed General Waste Collectors

The codes of practices have been established by Government, in consultation with industry. They are

mandatory.


The Singapore Green Plan covers the National Policy for waste management in the country. It outlines

the policy addressing the concerns of sustainable consumption. The Singapore Green Plan aims to reduce

domestic and trade waste from a per capita rate of 1.1 kg per day (1991) to 0.9 kg per day by the year

2000.



The main policy activities related to waste minimisation include:

Encouraging the setting up of recycling schemes for domestic and trade waste, and conduct

extensive public education programmes to promote recycling.

Promoting the re-use and recycling of particular categories of waste (e.g. scrap tyres, wood waste)

where economically feasible.

Encouraging the setting up of recycling plants for wood waste and plastic waste. Considering tax

incentives and financial assistance schemes for the setting up of plants.

Encouraging industries to adopt waste minimisation audit as part of good operating practice.

Promoting waste minimisation in office buildings and industries.


Business and Industry

- currently engage their own licensed waste collectors

- provide feedback through dialogue sessions with the Government

Local Authorities (Town Councils)

- responsible for local management of refuse collection services from individual blocks to the central

collection points (bin centres)

Status

For solid waste collection, they include:

Requiring bigger bin centres with daily refuse of more than 4,000 litres to use refuse compactors.

Introduce centralised refuse chutes in all new public housing apartment blocks.

Use of modern refuse compaction vehicles fitted with mechanical bin-lifting device.

Encourage the use of pneumatic refuse conveyance system.

The main issues relating to waste management in Singapore are: increasing amount of waste generated;

increasing cost of waste disposal. The major constraints are limited land available for waste disposal i.e.

incineration plants and landfills and weak secondary markets for recycled products. Illegal disposal of

waste may lead to pollution of watercourses including freshwater supplies.

The main activity underway to address the sound disposal of solid wastes is the construction of necessary

disposal infrastructure. The projects underway are the fourth incineration plant and new offshore landfill.

The project on Deep Tunnel Sewerage System is under planning.



While it is necessary to continue to plan ahead to ensure adequate disposal facilities for solid wastes, the

Ministry of the Environment hopes to slow down the rate of waste generation and has introduced a series

of programmes to achieve this. The Ministry works closely with industry, trade associations and business

groups to promote and enhance efforts on waste minimisation. Land has also been set aside at disused

landfill sites for the setting up of recycling plants.

A comprehensive system of sewers, pumping stations and six centralised sewage treatment works ensure

that all wastewater generated by domestic and non-domestic sources are collected and treated before

discharge into the sea. In 1995, 430 million cu m of wastewater was collected and treated at the sewage

treatment works where secondary treatment was applied to the wastewater. Sludge produced is stabilised

in digesters before disposal as a soil conditioner for reclaimed land. Biogas is produced at all the sewage

treatment works as a by-product of sludge stabilisation and utilised to generate electricity

to operate the works. To promote water conservation, the treated effluent from the sewage treatmentworks is used for non-potable purposes such as engine cooling, watering of golf courses and for industrial

purposes after tertiary treatment to improve the quality of water and disinfection.

About 2.68 million tonnes of solid waste were collected in 1995, half of which was from domestic and

commercial sources, and the other half from industrial sources. About 70% of this waste was disposed of

at three refuse incineration plants and the rest at a sanitary landfill site. In line with the programme to

conserve resources, electricity is generated from the three incineration plants and ferrous metals

recovered for recycling.

The capital investments and recurrent costs of the municipal solid waste disposal facilities and the

sewerage system and sewage treatment works are financed by the government and the users. The

dedicated incinerators for hospital wastes are built and operated by the private sector on a commercial

basis.

Singapore monitors the transport by ship of hazardous, toxic and nuclear materials though your seas.

The Singapore Productivity and Standards Board (PSB) promotes waste minimisation through the

promotion of Green Productivity.

The Waste Minimisation Unit of the Ministry of the Environment administers the GreenLabel

Scheme which was introduced in May 1992. It decides on the product categories and solicits suggestions

from industries and the public. In addition, it processes and approves applications for the GreenLabel. An

Advisory Committee comprising representatives from private sector organisations, academic institutions

and government agencies sets the criteria to grant the right for a product to display the GreenLabel.



The Green Labeling Scheme helps consumers to identify environmentally friendly products and enable

them to exercise their choices more objectively in order to influence producers and suppliers to take into

account the protection of the environment when producing goods. The Scheme applies to most products,

excepts foods, drinks and pharmaceuticals. It does not apply to services and processes.


The Waste Minimisation Unit of the Ministry of the Environment is engaging an environmental

consultant to carry out a project which involves the following: reviewing waste minimisation policies,

strategies and programmes in Singapore and other countries, making recommendations to the Singapore

government on waste minimisation strategies.

The government has also worked closely with the retail sector to promote minimal packaging for

consumer products and introduce programmes to educate consumers to be less wasteful in their

consumption patterns.

The annual Clean and Green Week campaign includes efforts to raise awareness of issues related to waste

minimisation.

Regular workshops and briefings are held to keep industries updated on new developments in

management of hazardous wastes.

The Consumers Association of Singapore is the main consumers grouping that aims to look after the

interests of consumers. The Singapore Environment Council acts as an umbrella organisation for

environmental NGOs in Singapore and seeks to promote environmentally responsible behaviour among

the population.

Centre for Environmental Training (ENV) - conducts Solid Waste Collection Course for licensed general

waste collectors and their employees (drivers and crew).

PSB conducts seminars and workshops on Green Productivity and ISO 14000 for industry.

Information

The available national waste information includes: quantity of waste disposed of by industrial sector and

residential sector, and estimated quantity of waste being recycled for each type of waste.

The above information is made available to potential users in the annual report of the Ministry. It is also

supplied to the public upon either telephone or written requests. The annual report is available on website

of the Ministry of Environment.

http://www.gov.sg/env






Hazardous Wastes


The Ministry of the Environment is responsible for the management of hazardous wastes. The private

sector plays a major role in the collection, transportation, treatment and disposal of hazardous industrial

wastes


The Basel Convention was ratified on 2 January 1996.


The major programmes include:

Regular courses/workshops on management of hazardous substances and wastes;

Specialised Training Course for drivers of vehicles carrying hazardous substances and wastes;

Control programme for hazardous wastes; and

Scheme to promote recycling and minimisation of industrial waste chemicals.

Status

The Ministry of the Environment controls the disposal of toxic industrial wastes under the Environmental

Public Health (Toxic Industrial Waste) Regulations. A Licence is required before a person granted to 100

companies to collect, treat and dispose of toxic industrial wastes. About 64,880 cu m of chemical wastes

were collected, of which 80% were treated and recycled and the rest treated and rendered safe for

disposal. Hospital wastes are collected separately and disposed of at two dedicated incinerators.

The policy and approach adopted have helped to minimize the generation of hazardous wastes and

promote treatment of these wastes for reuse.


Radioactive Wastes

Status




Documents

The Monetary Authority of Singapore