With solar energy earmarked as one of the key thrusts in Singapore's clean energy industry, the Singapore Economic Development Board (EDB) recently unveiled the Solar Capability Scheme to spur demand and build up expertise for this young but growing field.

In essence, the scheme - the latest by the Clean Energy Programme Office (CEPO) - seeks to strengthen critical capabilities of companies engaged in activities such as engineering, architecture and system integration through increased implementation of solar energy technologies by lead users in Singapore.

Blueprint for green innovation

It has set aside S$20 million (US$14.6 million) for the private sector to offset part of the capital cost involved in installing solar technologies in new energy-efficient buildings. Financial support of up to 40 per cent of the capital cost of the solar solution can be granted and is capped at S$1 million (US$730,000) per project.

"This is a very attractive offer," says Ko Kheng Hwa, Managing Director, EDB and Executive Director, CEPO. "We expect keen interest from the industry." The initial response has been positive. "It is the best news the industry has received for some time. We've seen an increase in interest in solar systems. Hopefully, this boost will convince clients that solar is the way to go," says Christophe Inglin, Managing Director, Phoenix Solar.

In addition, the scheme encourages innovative design and integration of solar energy. Effective immediately, it caters to new building developments in the private sector, which meet a minimum Green Mark Gold standard, a benchmarking system administered by the Building & Construction Authority (BCA) to encourage environmentally friendly practices. Applications for existing buildings undergoing extensive retrofit will be considered on a case-by-case basis.

"The implementation of capabilities nurtured under the scheme will be exportable as there is growing demand internationally in eco-friendly developments. These capabilities will also support wider adoption of solar energy in Singapore as its cost continues to fall," says Ko.

Foundations for success

With such initiatives and a growing number of solar energy companies such as Renewable Energy Corporation (REC) setting up base here, Singapore's clean energy drive is gaining momentum.

In fact, the country envisions the sector to generate S$1.7 billion (US$1.2 billion) in value-add and 7,000 jobs, across a broad range of areas, including solar power, fuel cells, wind power, energy efficiency and carbon services, by 2015. To this end, the government announced S$350 million (US$255.5 million) of funding to support the development of the industry last year.

As Singapore's key inter-agency workgroup, CEPO is responsible for planning and executing clean energy strategies, and has established several initiatives to grow the solar industry. In August 2007, it launched the S$17 million (US$12.4 million) Clean Energy Research and Test-Bedding (CERT) programme to provide opportunities for government agencies to work with private companies to develop and testbed clean energy applications and solutions for government buildings and facilities in Singapore. To date, it has backed five projects such as BCA's Zero Energy Building.

In addition, it has announced the formation of the Clean Energy International Advisory Panel, which will hold its inaugural meeting in Singapore from 19-20 June 2008. The panel is chaired by Lim Siong Guan, Chairman, EDB, and made up of such prominent industry players such as Erik Thorsen, President and CEO, REC, and Nicholas Parker, Chairman and Managing Partner, Cleantech Group, to name a few. The panel will advise CEPO on the overall development of the clean energy industry and help chart R&D direction. Given these initiatives, Singapore is taking great strides to achieving its aim for the sector.