News: Three new grants to help companies switch to environment-friendly water-cooled chillers

Oct 12, 2020

These grants will support firms in switching to low-Global Warming Potential (GWP) refrigerant water-cooled chillers as well as “smoothen the transition to the use of climate-friendly RAC equipment”.

Three new grants have been launched to encourage firms to switch to water-cooled chillers that use lower Global Warming Potential (GWP) refrigerants.

In a joint release on 8 October, the National Environment Agency (NEA), Economic Development Board (EDB), and Building and Construction Authority (BCA) said the switch will help lower the city-state’s greenhouse gas emission coming from the use of hydrofluorocarbons in the refrigeration and air-conditioning sector.

Global Warming Potential (GWP) is a measure of a gas’ warming effect relative to the warming effect of an equivalent mass of carbon dioxide, usually over a 100-year period.

Hydrofluorocarbons, when emitted to the environment, are much more potent compared to carbon dioxide in contributing to global warming. 

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“As one of the measures for Singapore to reduce our GHG emissions, NEA intends to restrict the supply of water-cooled chillers using high-GWP refrigerants from the fourth quarter of 2022,” said the release. 

And while it has higher upfront cost compared to a high-GWP refrigerant chiller, a low-GWP refrigerant chiller – that uses refrigerants with GWP of 15 or less – usually results in lower energy costs since it is more energy efficient.

The three grants will support firms in switching to low-GWP refrigerant water-cooled chillers as well as “smoothen the transition to the use of climate-friendly RAC equipment”.

The grant will be administered by BCA under a new scheme, dubbed Grant for Low-GWP Refrigerant Chillers (LoGR), which supports eligible operators or owners of existing building types similar to those regulated under the Building Control (Environmental Sustainability Measures for Existing Buildings) Regulations 2013.

The grants for data centres and industrial facilities will fall under the existing Energy Efficiency Fund (E2F) and Resource Efficiency Grant for Energy (REG(E)), which are administered by NEA and EDB, respectively.

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Companies that do not meet any of the above criteria “may contact NEA to check on their eligibility for the grant”.

“Climate change is an existential challenge for Singapore, which requires a whole-of-nation response, and efforts by all sectors to reduce emissions. I encourage companies to do their part by applying for these grants and make an early switch to equipment with lower GWP refrigerants,” said Grace Fu, Minister for Sustainability and the Environment.

“This will go a long way in reducing the environmental impact arising from the use of HFCs and help to fight climate change.”

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