Bilateral Agreement Targets Sustainable Growth and Decarbonisation
SINGAPORE: A landmark memorandum of understanding (MoU) was signed on Wednesday (Mar 1) between Singapore and the United Kingdom to establish a bilateral green economy framework. This agreement marks the first of its kind for the UK and seeks to strengthen collaboration on energy security, climate action, and sustainable growth.
The MoU was signed virtually by the UK’s Secretary of State for Energy Security and Net Zero, Grant Shapps, and Singapore’s Minister-in-charge of Trade Relations, S Iswaran. Highlighting the importance of the agreement, Shapps remarked, “The war in Ukraine has underscored the critical need to secure our energy independence. This partnership with Singapore will harness our shared expertise and innovation to advance renewable energy, create future-ready jobs, and reduce consumer costs.”
Key Features of the Framework
Building upon the existing UK-Singapore Free Trade Agreement and Digital Economy Agreement, the green economy framework integrates climate, economic, and trade policies to support the decarbonisation targets of both nations in line with the Paris Agreement.
Collaboration will focus on three main pillars:
Green Transport: Initiatives to enhance sustainability in shipping and other modes of transport.
Low-Carbon Energy Technologies: Partnerships to accelerate renewable energy deployment and innovation.
Sustainable Finance and Carbon Markets: Efforts to strengthen green financing and promote carbon trading systems.
The framework will be executed through various channels, including government policy dialogues, business matchmaking events, industry workshops, and research collaborations.
Opportunities for Growth and Innovation
The partnership aims to spur economic growth by creating high-tech jobs, attracting investments, and enabling export opportunities. It also seeks to establish commercial pilot projects and deepen ties between private sector and academic institutions in both nations.
British High Commissioner to Singapore, Kara Owen, emphasised the potential of the framework: “This collaboration leverages the strengths of the UK and Singapore in areas like low-carbon technology, shipping, and sustainable finance. It will foster long-term solutions through joint efforts by our industries and academic communities.”
By combining resources and expertise, Singapore and the UK aim to lead the way in green innovation, setting a benchmark for international cooperation in the transition toward a sustainable future.
