3 new grants for businesses to switch to more climate-friendly water chillers



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SINGAPORE: Three new grants have been launched to encourage companies to switch to water-cooled chillers and reduce the amount of hydrofluorocarbons (HFCs) they produce.

The grants will fund part of the cost of low global warming potential (GWP) refrigerant chillers for space cooling. They are part of a series of measures announced earlier this year with the aim of reducing greenhouse gas emissions related to HFCs.

GWP is a measure of the heating effect of a gas relative to the heating effect of an equivalent amount of carbon dioxide, generally over a 100-year period.

By switching to low-GWP refrigerants, companies can help reduce Singapore’s greenhouse gas emissions arising from the refrigeration and air conditioning sector, said the National Environment Agency (NEA), the Economic Development Board ( EDB) and the Building and Construction Authority (BCA) in a joint press release on Thursday (October 8).

READ: S $ 24.8 Million Climate Friendly Home Package for 1 to 3 Bedroom HDB Homes to Implement This Year

HFCs are a class of chemicals that are commonly used as refrigerants in the refrigeration and air conditioning industry. When released into the environment, HFCs are much more powerful than carbon dioxide in contributing to global warming.

NEA has previously announced that it intends to restrict the supply of water-cooled chillers using high-GWP refrigerants. This will start from the fourth quarter of 2022.

The three grants will help companies switch to low-GWP water-cooled chillers and “smooth the transition” to using climate-friendly air conditioning and refrigeration sector equipment, according to the press release.

A low GWP refrigerant chiller, using refrigerants with a GWP of 15 or less, generally results in lower energy costs as it is more energy efficient but has a higher initial cost than a high GWP refrigerant chiller.

“Climate change is an existential challenge for Singapore, requiring a nationwide response and efforts from all sectors to reduce emissions,” said Minister of Sustainability and Environment Grace Fu.

“I encourage companies to do their part by applying for these grants and making an early switch to equipment with lower GWP refrigerants. This will go a long way towards reducing the environmental impact from the use of HFCs and will help combat climate change.”

BCA will administer the grant under a new scheme – Low GWP Refrigerant Chiller Grant – which supports eligible owners or operators of existing building types similar to those regulated by the Building Control Regulations (Environmental Sustainability Measures for Existing Buildings) of 2013.

Grants for industrial facilities and data centers will be included in the existing Energy Efficiency Fund (E2F) and the Energy Resource Efficiency Grant (REG (E)). NEA and EDB administer E2F and REG (E) respectively.

Businesses that do not meet any of the above criteria can also contact NEA to verify their eligibility for the grant.

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