Singapore and Peru to Collaborate on Carbon Markets to Advance Climate Ambition

Singapore, 18 November 2022 – Singapore and Peru signed a Memorandum of Understanding (MOU) today to collaborate on carbon credits, aligned with Article 6 of the Paris Agreement. The MOU was signed by Minister for Sustainability and the Environment Grace Fu and Peru’s Minister of Environment Wilbert Rozas at the Singapore Pavilion at the 2022 United Nations Climate Change Conference (COP27), in Sharm el-Sheik, Egypt.

2 The MOU will facilitate collaboration on carbon credit projects that aim to advance the generation and sharing of carbon credits to support Singapore and Peru’s climate ambitions. Singapore is committed to ensure the integrity, quality and transparency of carbon markets. This includes robust and independent accounting, and the avoidance of double counting, including requiring corresponding adjustments. The collaboration will also prioritise sustainable development and co-benefits to the local communities and economy.

3 Minister Fu said, “The signing of this Memorandum of Understanding highlights Singapore’s and Peru’s commitment to collaborate on carbon markets aligned with Article 6 of the Paris Agreement. Initiatives such as the Climate Action Data (CAD) Trust allow us to scale up carbon markets while upholding environmental integrity and transparency. Such cooperation is critical for countries to advance climate ambition, and to accelerate action to achieve our sustainability goals”.

4 The Ministry of Sustainability and the Environment will establish an interagency working group with Peru’s Ministry of Environment to implement this MOU.

MOU factsheet

• Singapore and Peru signed a Memorandum of Understanding (MOU) for Collaboration under Article 6 of the Paris Agreement.

• The MOU was signed by Singapore Minister for Sustainability and the Environment Grace Fu and Peru’s Minister of Environment Wilbert Rozas.

• The MOU signals Singapore’s and Peru’s intent to collaborate on carbon markets, aligned with Article 6 of the Paris Agreement, which allows countries to voluntarily cooperate to achieve emission targets set out in their Nationally Determined Contribution (NDC), while promoting sustainable development and environmental integrity.

• Under the MOU, Singapore and Peru will work towards a legally binding agreement that sets out a bilateral framework for the international transfer of correspondingly adjusted mitigation outcomes.

• Singapore and Peru will work together to identify potential Article 6-compliant mitigation activities which can support both countries to achieve their respective NDCs.

• Singapore aims to achieve net zero emissions by 2050, and is committed to advancing global climate action through international collaboration with like-minded partners.