The Ministry of Sustainability and the Environment and the National Environment Agency have recently announced the eligibility criteria under the International Carbon Credit (ICC) framework (ICC Framework), which will allow carbon tax-liable companies to use eligible ICCs to offset up to five per cent of their taxable emissions from 1 January 2024.
Under the ICC Framework's eligibility criteria, ICCs must represent emissions reductions or removals that occur within the timeframe specified in article 6 of the Paris Agreement and meet seven principles to demonstrate high environmental integrity.
This update outlines the key features of Singapore's carbon tax regime and the ICC Framework's eligibility criteria.
Originally published 18 Oct 2023
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