GOH Speech by SMS Low Yen Ling at City Developments Limited’s SME Supplier Decarbonisation Queen Bee Programme Graduation Ceremony

Distinguished Guests,

Ladies and Gentlemen,

Introduction

1. A very good afternoon to everyone. It is my pleasure to join you today to celebrate the graduation of all our 42 participating SMEs under CDL’s SME Supplier Decarbonisation Queen Bee Programme. This is a commendable effort on the part of everyone involved to show how Singapore businesses – big and small – can come together to make significant strides along the decarbonisation journey.

Sustainability Reporting

2. With support from Enterprise Singapore, CDL launched this programme last year to support their local suppliers to measure their carbon emissions and develop essential climate-related reports. This was on the back of Singapore introducing mandatory climate reporting based on the International Sustainability Standards Board (ISSB) standards last year. The original requirement was for all listed companies to do so by FY2025 and large non-listed companies to do the same by FY2027.

3. Many of you would have noted the recent changes by ACRA and Singapore Exchange Regulation (SGX RegCo) to extend the timelines for implementing these requirements. This calibration reflects the recognition that companies, especially smaller players like SMEs, need time to build reporting capabilities so that disclosures are accurate, credible and meaningful to stakeholders. We do not want climate disclosures to just be a box-ticking exercise.

4. Although not mandatory, sustainability reporting is no less relevant for SMEs as they need to account for their carbon footprint and climate-related risks, which then feed into the Scope 3 emissions reporting of the larger firms they supply to. Over time, sustainability reporting requirements will only grow more stringent, in line with international standards. SMEs that adopt these reporting requirements early will not only uncover opportunities to improve their resource efficiency and resilience, but also gain a competitive edge in securing business from large companies like CDL with sustainability targets.

Importance of Queen Bee Programme

5. This is why today’s graduation ceremony from CDL’s programme is so timely.

6. Over the past year, this programme has equipped participating SMEs with practical skills to:

   1. Measure and report their greenhouse gas emissions;

   2. Develop tailored decarbonisation roadmaps useful for accessing sustainability linked loans; and

   3. Establish concrete targets to reduce their carbon footprint.

7. This graduating cohort of SMEs are now better able to compete in the low-carbon economy and meet the growing expectations of customers and business partners. Allow me to share the stories of two graduating SMEs that have benefitted from this programme.

   1. Gush is a local SME that provides sustainable paints and advanced building materials. Through this programme, Gush mapped its product lifecycle and identified areas with higher emissions to focus their carbon reduction efforts on, including streamlining logistics. The programme also guided Gush to develop a decarbonisation roadmap to reduce carbon footprint and track sustainability performance. These efforts have delivered cost savings for Gush through energy efficiency improvements and resource optimisation.

   2. Another graduating SME is V-Plus Agritech, a circular agriculture solutions provider that develops smart and sustainable farming systems. Through this programme, it achieved a “B” rating from the Carbon Disclosure Project (CDP) for its sustainability efforts, helping it to become a trusted partner for businesses, schools and communities. While it had no prior supplier relationship with CDL, its participation in this programme also led it to clinch a partnership with CDL to set up a MicroFarm which you can see right outside.

8. The success stories of Gush and V-Plus Agritech show that the benefits of sustainability are tangible. Not just cost savings, but new   competitive advantages and growth opportunities.

Role of Queen Bees

9. As the name of this programme suggests, large corporates like CDL play a vital “Queen Bee” role. With their scale, expertise, and networks, they can mentor and uplift their SME supplier base to become more sustainable. In so doing, large corporates are reducing their Scope 3 emissions and enhancing their supply chain resilience.

10. These Queen Bee-supplier partnerships are not just win-win for both large corporates and SMEs, but also essential to ensure Singapore’s transition into the low-carbon economy is inclusive. I hope to see more industry leaders step forward as Queen Bees and walk alongside their suppliers on the sustainability journey.

Continuing the Sustainability Journey

11. This journey continues beyond today’s graduation from CDL’s programme. I encourage all our graduating SMEs to sustain this positive momentum and tap on government support to step into the next phase of your sustainability transformation. This includes the Enterprise Sustainability Programme (ESP) which supports Singapore companies along all stages of their sustainability journey, by providing courses and grant support for various sustainability capability and product development projects.

12. For SME participants that have newly joined this programme and are just starting out on your sustainability journey, do check out Enterprise Singapore’s one-stop SME Sustainability Hub website to easily find relevant sustainability-related Government support and resource to accelerate your sustainability transformation.

Conclusion

13. Let me conclude with a word of thanks to CDL for your sustainability leadership and initiative to roll out this programme, and for being a model of how Queen Bees can inspire, support and lead their SME suppliers in sustainability.

14. To the SMEs graduating today: carry forward what you have learnt, embed sustainability in all your business practices, and continue to share your learnings with your partners and customers. I wish you every success in your sustainability journey.

15. Thank you.