In a landmark move under the Paris Agreement, Singapore has committed to its first major international procurement of nature-based carbon credits. The deal, valued at approximately S$76 million (US$55.6-76.4 million), secures 2.175 million tonnes of high-quality credits from projects designed to help the nation advance its climate ambitions.
The government announced that the credits will be sourced from a portfolio of four distinct projects located in Ghana, Peru, and Paraguay, with deliveries scheduled between 2026 and 2030. These credits serve as a complementary decarbonisation pathway, supplementing domestic efforts to reduce emissions and supporting Singapore’s journey towards its net-zero targets.
Spotlight on the Boomitra Grassland Restoration Project: A Key Part of the Singapore carbon credit deal: Impressive 2030 Paraguay Project
A key component of this international agreement is the Boomitra Grassland Restoration Project in Paraguay. Selected following a formal request for proposals, this initiative focuses on sequestering carbon in soil through the implementation of sustainable grassland management practices. This nature-based solution is a prime example of the high-integrity projects Singapore is targeting to meet its climate goals while contributing to global environmental stewardship.
Singapore’s Global Carbon Market Strategy
This procurement is a direct result of Singapore’s proactive strategy to build a diversified portfolio of carbon credits. The nation has already signed nine implementation agreements with partners including Paraguay, Peru, Ghana, Bhutan, Chile, Papua New Guinea, Rwanda, Thailand, and Vietnam. As part of these agreements, Singapore is committed to channeling 5% of the proceeds from the authorised credits to support climate adaptation measures within the host countries.
Singapore’s strategy encompasses a range of decarbonisation technologies, from nature-based solutions like the Paraguay project to technological approaches such as carbon capture. The integrity of these diverse international carbon markets relies on rigorous verification, often guided by standards bodies like Verra, which provide frameworks for ensuring the quality and impact of certified projects. This deal reinforces Singapore’s position as a hub for carbon services and its commitment to achieving its international climate obligations.
Sources
- Singapore to Buy $76.4M Worth of Nature-Based Carbon …
- Singapore Will Contract High Quality Nature Based Carbon …
- Singapore to buy S$76.4 million worth of nature-based …
- Singapore Signs Further Implementation Agreements and …
- Singapore Will Contract High Quality Nature Based Carbon …
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- Singapore to procure 2.175 mil mtCO2e of nature-based …
- Nature-based carbon credits: Singapore to secure first carbon …
