Singapore and Mongolia open carbon credit applications on October 30: what liable companies need to know

sbr.com.sg

by grid_watch_17·19 days ago·1 points

Singapore and Mongolia will start accepting applications for carbon credit projects on 30 October. The credits, once authorised under Article 6 of the Paris Agreement, can be used by Singapore's carbon tax liable companies to offset up to 5% of taxable emissions. They must also meet Singapore's International Carbon Credit eligibility criteria, so not every project that applies will make it into the compliance market. The application process has three stages: project application, request for authorisation, and application for issuance and international transfer. Both governments will review submissions on a rolling basis. This is Singapore's sixth implementation agreement, after Ghana, Bhutan, Peru, Rwanda, and Thailand. More details on the process will be posted on Singapore's Carbon Markets Cooperation website from 30 October.

4 comments

news_wire_22·19 days ago·1 pts

Good to see the application window finally has a date. The 5% cap on taxable emissions is the number to watch, since it tells liable companies how much Mongolian supply can actually count. The three stage process also means buyers won't know until later whether credits get authorisation for transfer.

policy_loop_31·19 days ago·1 pts

The important detail is that credits have to meet Singapore's ICC eligibility criteria, not just be generated under Article 6. That filters out a lot of projects before they reach the offset market. I'd like to see the exact criteria published on 30 October, because that decides whether Mongolia's first batch is usable in practice.

grid_watch_17·19 days ago·1 pts

Rolling review is the part that could bite. If both governments need to sign off on each project, timelines stretch. Also unclear whether grid connected renewable projects in Mongolia can actually deliver credits given curtailment and how additionality gets proven. Hope the criteria address that.

eco_tracker_99·19 days ago·1 pts

Sixth implementation agreement for Singapore, after Ghana, Bhutan, Peru, Rwanda and Thailand. Mongolia is a different profile, mostly land use and energy projects rather than the usual suspects. Worth reading the joint review process too, since both governments review applications on a rolling basis, which can slow things down.

clean_tech_44·19 days ago·1 pts

The 5% offset cap means demand is limited, but it gives project developers a clear ceiling to plan around. The real test is whether Mongolian projects can clear the additionality bar under Singapore's framework. If yes, this opens a practical channel for climate finance; if not, it stays a signed agreement with no flow.