Singapore's Energy Efficiency Grant (EEG) For F&B, Manufacturing and Retail Businesses [2024 Edition]

The article was published on 25 Mar 2024 and was most recently updated on 1 Apr 2024

The Energy Efficiency Grant (EEG) has been updated with two tiers: Base Tier and Advanced Tier

A few changes has been implemented and the EEG is now available in two tiers - Base Tier and Advanced Tier. The Advanced Tier comes with additional equipments in the list of its own. Check out key points in the breakdown of the two tiers below.

Base Tier:

• Existing eligibility list of equipment applies.
• Pre-approval for EE equipment is required.
  
  

Advanced Tier (applicable to businesses in Manufacturing sector only):

• Offers an expanded eligibility list that includes additional equipment. They are:
  
  1. Base Tier Equipments (you can view the list in the next section)
  2. Boiler System
  3. Compressed Air System
  4. Motors

• Pre-approval for EE equipment is not required.

• To qualify for the grant, equipment must demonstrate a lifetime carbon abatement exceeding 350 tonnes.

• The grant amount is determined by the lower of two factors:
  
  - Support levels established under the Base Tier.
  - Grant quantum calculated based on the EE equipment's expected lifetime energy savings.
  
  

Ready to apply for the Upgraded Energy Efficiency Grant (EEG)? The application process for both the Base Tier and Advanced Tier of the EEG can be submitted through email at NEA_EEG@nea.gov.sg

Overview of the Energy Efficiency Grant (EEG) in Singapore

The Energy Efficiency Grant (EEG) in Singapore aims to support businesses in improving their energy efficiency and reducing their carbon footprint. The key components of the EEG include eligibility criteria for businesses, funding support for energy-efficient equipment, and a straightforward application process. Soon, eligible sectors for the grant may expand its coverage to industries such as construction, maritime, data centers, and more.

The types of energy-efficient equipment covered by the EEG include lighting, air conditioning, refrigeration, and more, with an extended timeline as announced in Budget 2024 for the grant to allow support for more SMEs with green solutions and for longer project implementation.

Latest updates on the enhanced Energy Efficient Grant can be found in the first section of this article.

Want to know more about your eligibility and finding vendor for your requirements? Whatapps us today!

For energy-efficient air conditioners, the technical requirements and approved brands/models are specified by the National Environment Agency to ensure that businesses are investing in high-quality, energy-saving equipment. The EEG aims to promote sustainable practices and support businesses in adopting energy-efficient solutions to contribute to Singapore's environmental goals. Businesses can take advantage of the EEG to upgrade their equipment and reduce their energy consumption, ultimately leading to cost savings and a greener working environment.

Requirements For SMEs To Apply

In order for an SME to apply the EEG program, specified criteria must be met.

Steps to apply for the grant

In order to make a successful claim, all equipment must be utilized in Singapore.

Grant support is capped at S$30,000 (per year) or up to 70% support per company per year until March 31, 2026, for energy-efficient equipment costs.

For companies that are eligible for SFEC and have not utilized under the current grant window can potentially get up to 90%+ grant support.

To apply for the Energy Efficiency Grant, businesses must first register for a Corppass account, which serves as their digital identity for online government services. Once registered, businesses can source pre-approved energy-efficient equipment from the list provided by the grant program.

After selecting the equipment, the next step is to submit the grant application on the Business Grants Portal (BGP). The application must include relevant business details, project information, and the selected energy-efficient equipment.

The application window for the Energy Efficiency Grant is open from 1 Sep 2022 to 31 Mar 2024, allowing businesses to apply during this time period. Once the application is approved, businesses can claim the grant for the purchase and installation of the pre-approved energy-efficient equipment.

More detailed information on the enhanced grant parameters will be announced on April 1, 2024.

You can also follow a step-by-step guide from Enterprise Sinagpore here.

Want to know more about your eligibility and finding vendor for your requirements? Whatapps us today!

Required documentation

As part of the EEG application, the following documents are required to be submitted with the application:

a. Company’s Financial Statements & ACRA Bizfile

• Submission of company financial statements from the past three years
  
  

Newly incorporated companies (less than 1 year) should provide additional supporting documents, such as unaudited financial statements or management accounts endorsed by the company's shareholder/director listed in ACRA.

If your company is part of a corporate group, please submit:

• Ultimate corporate group financial statements for the past three years
• ACRA bizfile containing information on holding companies and/or subsidiaries
• Corporate group structure
• Complete SGX Shareholder report (if parent company is listed on the Singapore Exchange (SGX)
  
  

b. Documents to request from vendor

You are required to submit the following documents issued by the vendor.

• A quotation must be requested if purchasing any EE equipment from large retailers and upload it with your application submission to BGP, such as Courts, Best Denki, Harvey Norman, Gain City, etc.

All required documentation must be submitted in full accordance with the submission process outlined in the application requirements. Failure to submit any necessary documentation may result in delays or rejection of the application.

Conclusion: Enterprise Singapore's Role

Enterprise Singapore plays a crucial role in driving Singapore's economic growth by supporting the growth of Singaporean companies, building partnerships and connections, and enabling the internationalization of Singaporean enterprises. As the government agency responsible for championing enterprise development, Enterprise Singapore works with businesses to enhance their capabilities, innovate, and expand into global markets.

With a focus on industries such as technology, manufacturing, and services, the organization provides targeted support and resources to help Singaporean enterprises scale up and compete on a global level.

Role in administering the grant

Enterprise SIngapore plays a crucial role as the grant administrator in managing the distribution and oversight of the funds. Their responsibilities include reviewing grant applications, evaluating eligibility, and coordinating the distribution of funds to recipients.

The administrator is also responsible for ensuring compliance with the grant's guidelines and monitoring the progress of grant recipients.

This involves conducting regular check-ins and reviews to track the impact of the grants and ensure that the funds are being used effectively and in accordance with the grant's objectives.

Frequently Asked Questions

1. How can I claim for the EEG? Is it through BGP?

Claims are made through the Business Grants Portal (BGP). To claim, ensure equipment purchase approval, deployment, full payment, and submission of required documents including invoice, payment support, delivery order, and pictures. Disbursements are made only after claim approval and credited to PayNow Corporate or GIRO accounts.

For detailed information, refer to the EEG Claims Checklist and the step-by-step guide.

2. Can I know the duration of the EEG?

The grant application window is from Sep 1, 2022, to Mar 31, 2024. Companies have up to 1 year from approval to purchase and install equipment, with claims submitted by Nov 1, 2022. The government may consider an extension based on the situation.

3. Will the Government support building owners?

Yes, building owners, including SMEs, are eligible for the EEG. Building owners may also explore the BCA Green Mark Incentive Scheme for Existing Buildings 2.0 for grants related to energy efficiency.

4. Will the EEG be expanded to more sectors?

Currently, there are no plans to expand the EEG to additional sectors. The grant is designed to support sectors significantly impacted by rising electricity prices, complementing other initiatives like NEA’s E2F and BCA’s GMIS-EB 2.0.

For detailed information, refer to the EEG Claims Checklist and the step-by-step guide.

Read also: F&B, Retail and Manufacturing Sectors can now purchase energy efficient equipment with up to 70% Grant Support under EEG Grant till 31 March 2023
Read also: Singapore SMEs: Ready for Overseas Expansion with the MRA Grant [Updated]
Read also: Reduced Grant Funding Support For Productivity Solutions Grant (PSG) and Enterprise Development Grant (EDG), What It Meant For SMEs In Singapore?
Read also: InvoiceNow Grants: What Businesses Should Know

-------------------------------------------------------------------------------------------------------

Got a Question?

WhatsApp Us, Our Friendly Team will get back to you asap :)

Share with us your thoughts by leaving a comment below!

Stay updated with the latest business news and help one another become Smarter Towkays. Subscribe to our Newsletter now!