S'pore to consider global developments, cost before any carbon tax change: SM Teo

Govt will look at how others make policies to deal with negative effects of CO2 emissions

- Cheryl Tan

 

DUBAI - Any change to Singapore's carbon tax rate will happen after the Government takes into account the cost of carbon, the negative impacts of emitting the planet-warming gas into the atmosphere, and the alignment with international developments, Senior Minister Teo Chee Hean said on Dec 5.

His comments come after the Monetary Authority of Singapore's outgoing managing director Ravi Menon said on Dec 4 that he hopes for the carbon tax to go even higher to accelerate climate action and address global warming.

Singapore's carbon tax is currently set at $5 per tonne of emissions, but will increase to $25 per tonne from 2024, and to $45 per tonne between 2026 and 2027. The tax will eventually be set at between $50 and $80 per tonne by 2030.

Speaking to reporters at the end of his four-day visit to Dubai for the United Nations' COP28 climate conference, Mr Teo said the Government will look into how different countries make policies, which take into account both price and non-price factors, to deal with the negative effects of emitting carbon dioxide.

 

Some countries, such as Switzerland and Sweden, have a carbon tax of at least €100 (S$145) per tonne of CO2.

Mr Teo also gave a wrap-up of Singapore's involvement in the global conference, including its participation in international negotiations and how it contributes to international collaboration.