The Resource Efficiency Grant for Emissions, REG(E), is an Economic Development Board (EDB) grant for Singapore-registered companies that own or operate an industrial facility in Singapore and carry out manufacturing or data-centre activities there. It funds projects expected to cut at least 250 tonnes of carbon dioxide equivalent (tCO2e) a year, such as energy efficiency upgrades or reducing non-CO2 greenhouse gases. The grant is based on the carbon abatement achieved, capped at 50% of qualifying costs, and the scheme is open until the end of FY2030.
Raffles Corporate Services works with a panel of experienced Singapore law firms who offer cost-effective and efficient legal service and advice. This article is general information only and is not legal advice.
REG(E) is aimed at serious engineering projects: chiller plant replacements, process heat recovery, compressed air optimisation, abatement of industrial gases and similar work at factories and data centres. It is paid once, after the project is completed and the carbon savings are verified, so the company must fund the project first. This guide explains the eligibility tests, the measurement and verification (M&V) requirement that drives the application, and how to plan around the one-time payment.
Who is eligible for REG(E)?
EDB’s REG(E) factsheet sets two layers of eligibility.
| Test | Requirement |
|---|---|
| Company | Registered or incorporated in Singapore |
| Facility | Owner or operator of an industrial facility located in Singapore |
| Activity | Undertaking manufacturing activities or data-centre activities in Singapore |
| Project location | Carried out in that manufacturing or data-centre facility in Singapore |
| Carbon abatement | Projected to deliver measurable and verifiable abatement of at least 250 tCO2e per year |
The factsheet does not set a local shareholding requirement, which makes REG(E) relevant to foreign-owned manufacturers and data-centre operators as well as local firms. Offices, retail premises and commercial buildings do not fit the facility test.
What kinds of projects qualify?
EDB gives examples rather than a closed list:
- Energy efficiency improvements, such as more efficient motors, chillers, compressors, boilers or process equipment.
- Reduction of non-CO2 greenhouse gases: methane, nitrous oxide, perfluorinated compounds, sulphur hexafluoride, nitrogen trifluoride and certain uses of hydrofluorocarbons.
- Recovery of flare gases.
EDB asks companies to consult it on whether a particular project type is eligible, and on the hydrofluorocarbon applications it accepts. Projects involving industrial motors, LED lighting and split-unit air-conditioners have a streamlined M&V process.
Smaller equipment upgrades that will not reach 250 tCO2e a year may suit the Energy Efficiency Grant instead. NEA’s EEG page states that the Base Tier runs to 31 March 2028 and the Advanced Tier to 31 March 2027.
How much funding can you get?
The grant is calculated from a support rate applied to the carbon abatement the project achieves, and is capped at 50% of qualifying costs. EDB does not publish the support rate per tonne in the factsheet, so the actual amount for a project can only be confirmed with EDB.
Qualifying costs can include:
- equipment;
- materials, consumables and technical software;
- professional services;
- intellectual property rights; and
- other costs incurred specifically to enable the emissions reduction (to be agreed with EDB).
Costs must normally fall within the qualifying period, which can be up to five years. The exception is consultancy incurred up to one year before the qualifying period starts, if it was for setting the energy or emissions baseline, identifying abatement projects or preparing the project proposal.
Example: A Singapore pharmaceutical plant plans to replace its chiller plant and add heat recovery at a cost of S$1.6 million. Engineers estimate abatement of 900 tCO2e a year, well above the 250-tonne threshold. Whatever EDB’s support rate produces, the grant cannot exceed S$800,000 (50% of qualifying costs). The plant pays the full S$1.6 million first and receives the grant in one payment after completion and verification. These figures are illustrative.
Why measurement and verification matters so much
The application turns on the M&V plan. Your project proposal must include technical details and an M&V plan that sets out:
- the methodology to measure and verify the actual carbon abatement after implementation; and
- how the pre-project energy or emissions baseline and post-project performance will be measured and calculated.
The M&V plan must be endorsed by an independent Qualified Endorser, who must be one of:
- a Professional Engineer in the mechanical, electrical or chemical branch;
- an Energy Efficiency Opportunities (EEO) Assessor; or
- a person with other relevant competencies approved by EDB for the application.
Because the grant follows verified abatement, a weak baseline is the most expensive mistake. If the baseline is not measured properly before work begins, the savings cannot be proven later.
How do you apply?
- Screen the project. Estimate annual abatement against the 250 tCO2e threshold and check the facility and activity tests.
- Consult EDB early. EDB asks companies to discuss project types, other supportable costs and M&V requirements before applying.
- Establish the baseline. Measure current energy use or emissions; the consultancy cost for this can qualify if incurred within one year before the qualifying period.
- Prepare the project proposal. Include technical details, the M&V plan, cost breakdowns and the timeline.
- Obtain Qualified Endorser sign-off on the M&V plan.
- Submit and await approval. All applications must receive EDB’s final approval by 31 March 2031.
- Implement, verify and claim. On completion, the abatement is verified against the award conditions and the full grant is paid in one disbursement.
Documents checklist
- ACRA business profile and evidence of ownership or operation of the facility (title, lease or operating agreement).
- Description of manufacturing or data-centre activities at the site.
- Historical energy, fuel or emissions data for the baseline.
- Engineering design, equipment specifications and supplier quotations.
- Project proposal with abatement calculations and the M&V plan.
- Qualified Endorser’s endorsement and credentials.
- Project budget split by qualifying cost category and timeline.
Cash flow, tax and carbon tax points
Since REG(E) pays once at the end, finance teams should plan the full project cost through to verification, which can be some years after approval. The grant may also affect how capital allowances are claimed on the funded equipment; our article on the tax and accounting treatment of grants explains the general rules. Larger emitters should also consider how abatement interacts with their carbon tax obligations, and listed or large companies preparing their first climate report may also qualify for the Sustainability Reporting Grant. For a wider view, see our directory of Singapore government grants for companies.
Common reasons REG(E) projects run into trouble
- Abatement below 250 tCO2e a year once realistic operating hours are used.
- No reliable baseline, so savings cannot be verified after installation.
- Committing costs before agreeing the scope with EDB, leaving costs outside the qualifying period.
- Wrong premises: offices or commercial buildings rather than a manufacturing or data-centre facility.
- Underestimating cash flow, because the grant is paid only after completion and verification.
Frequently asked questions
Is REG(E) an NEA grant?
No. The current Resource Efficiency Grant for Emissions is administered by EDB, as shown on EDB’s incentives and green economy pages.
What is the minimum project size?
The test is carbon, not money: the project must be projected to abate at least 250 tCO2e a year in a measurable and verifiable way.
How long is REG(E) open?
EDB states the scheme is open until the end of FY2030, and all applications must receive final approval by 31 March 2031.
Is the grant paid in stages?
No. EDB pays the full grant in one disbursement after the project is completed and the award conditions are verified.
Can data centres apply?
Yes. Companies undertaking data-centre activities in a Singapore facility they own or operate are within the eligibility criteria.
Official sources: EDB green economy support and the EDB REG(E) factsheet.
Information checked against official sources on 6 November 2026.
Free grant consultation: is REG(E) right for your company?
Raffles Corporate Services has in-house certified grant consultants who are experienced with Singapore grant applications and the full grant process, from checking eligibility and preparing the proposal and supporting documents to submitting claims and meeting the conditions after approval. We can arrange a free consultation to review your company and identify which grants, including REG(E), may be applicable.
Email [email protected] or WhatsApp +65 8501 7133 to book a time. EDB decides every application, and no consultant can guarantee approval.
The Editorial Team, Raffles Corporate Services