Clean Development Mechanism

The Clean Development Mechanism or CDM of the KP allows greenhouse gas emission reductions from projects implemented in non-Annex I countries, such as Singapore, to be used to offset emissions of Annex I countries, such as Japan and the EU. 

Designated National Authority (DNA) for CDM

NEA has been appointed as Singapore's Designated National Authority (DNA) for Clean Development Mechanism (CDM) projects under the Kyoto Protocol (KP). NEA's role is to issue a Letter of Approval (LoA) to CDM projects that meet  Singapore's sustainable development criteria.  The LoA supports the registration of the project by the UNFCCC CDM Executive Board (EB).  In the LoA application to the DNA, the project idea note (or PIN) must be submitted with the project design document (or PDD) that will be (or has been) provided to the designated operational entity for validation. The PIN will demonstrate how the project meets Singapore's sustainable development criteria.

Sustainable Development Criteria

The sustainability criteria for Singapore are as follows:   

(a)       Environmental Sustainability

(i)       Project meets NEA’s Environmental Protection requirements, standards and regulations; and

(ii)      Project produces real and measurable reductions in GHG emissions.

(b)        Economic Sustainability

(i)       Project utilizes more efficient and/or environment-friendly technology than common industrial practice.

(c)        Social Sustainability

(i)             Project helps to improve quality of life by creating opportunities for jobs, job enhancement, etc.