Speech by Deputy Prime Minister and Minister for Trade and Industry Gan Kim Yong at the PEP-SBF Awards 2025

Mr S. S. Teo, Chairman of the Singapore Business Federation,
Mr Leo Yip, Chairman of the Pro-Enterprise Panel and Head of Civil Service,
Members of the Pro-Enterprise Panel,
Distinguished guests,
Ladies and gentlemen,

Introduction

1. Good morning. It is my pleasure to join you this morning at the 12^th edition of the Pro-Enterprise Panel – Singapore Business Federation (PEP-SBF) Awards.

2. The PEP-SBF Awards celebrate the achievements that make Singapore an efficient and competitive place to do business.

3. They also reaffirm the strong partnership between Government and industry, a partnership that is anchored in trust and a shared commitment to solve problems together. This partnership will be even more important and vital amidst a fast-changing world.

4. Over the past year, global developments have accelerated in ways that are reshaping how economies and industries operate.

   1. Geopolitical tensions are reconfiguring supply chains.

   2. New technologies, especially AI, are redefining business models.

   3. And the shift towards a low-carbon future is prompting firms to rethink how they invest and organise themselves.

5. As a small and open economy, Singapore will feel the impact of these global developments keenly.

6. It is even more important that Government maintains clarity, consistency and agility in how we govern and work with our industries.

   1. A regulatory environment that is predictable and practical helps companies manage uncertainty, make decisions with confidence, and adjust to the new landscape.

   2. And in a more competitive global environment, the ability of our agencies to coordinate well and resolve issues efficiently will be an increasingly important element of Singapore’s value proposition to the industries.
      
      Smart Regulations for Tomorrow

7. Against this backdrop, this year’s theme – “Smart Regulations Through Stronger Partnership” – is a timely one.

8. Smart regulation is not about having fewer rules; nor is it about simply tightening or relaxing rules. Rather, it is about having smarter and better use of rules, rules that are risk-based, clear and practical, that support businesses to innovate and respond quickly to opportunities and challenges, while safeguarding the public interest.

9. Our approach is threefold:

   1. Firstly, to work better within Government, and partner better with industry;

   2. Secondly, to leverage technology to streamline processes and improve efficiency; and

   3. Thirdly, to enable innovation through sandboxes.

10. Let me elaborate on each of these three.
    
    Working Better Within Government, and Partnering Better With Industry

11. First, the Government is strengthening how agencies coordinate internally, and how we work with businesses.

12. In April last year, we established the Inter-Ministerial Committee on Pro-Enterprise Rules Review (IMC) to address cross-agency regulatory issues – areas where processes intersect, or where sequential approvals introduce unnecessary delays or uncertainty for companies.

13. Since then, the IMC has engaged more than 170 business leaders across a wide range of sectors. Their insights helped shape three service-wide commitments announced at this year’s Committee of Supply:

    1. To publish clear service standards for regulatory applications, with a target of 30 working days where feasible;

    2. To extend the validity of business licences to at least three years, and up to five years where possible; and

    3. To streamline processes, so as to reduce sequential approvals and repeated requests for information.

14. I am glad to note that all agencies have now published their service standards. This marks a significant step in making our processes more transparent and predictable for businesses.

15. We have also taken concrete steps in several areas.

    1. As of 1 September 2025, Land Betterment Charges (LBC) for solar deployments will be based on a clear table of rates, so that landowners and developers can better estimate LBC upfront.

       1. Besides providing greater clarity to firms looking to adopt solar solutions, this change will also enable them to activate solar deployments faster by reducing time to approvals.

    2. At the Boat Quay Historic District, we have launched a one-year pilot to allow the establishment of new bars, pubs and nightclubs. Liquor trading hours for the Boat Quay District and its neighbouring areas will also be extended.

       1. This will provide more opportunities for businesses in the city centre, support the revitalisation of our nightlife, while safeguarding law and order with the help of security patrols by Singapore River One.

    3. Earlier this year, we have also set up the SME Pro-Enterprise Office (PEO) to act as a central coordination unit within Government.   

       1. The PEO will enable us to better support businesses with their feedback and needs, especially on issues that span multiple agencies or in emerging sectors where regulations are still evolving.  
          
          Leveraging Technology

16. Second, the Government will better leverage technology to simplify regulatory processes. In particular, digitalisation plays a meaningful role in making systems more efficient, more transparent and more user-friendly.

    1. A recent example is the Islamic Religious Council of Singapore (MUIS)’s Halal certification process.

       1. Since last month, MUIS has introduced digital Halal certificates that simplify the application process for businesses.

       2. By the first half of next year, MUIS will launch the Comprehensive Halal Risk Management Framework, adopting a risk-based approach that will enable faster approvals and certificate validity of up to five years for compliant establishments.

       3. This is expected to benefit more than 5,500 businesses.

    2. Another example is the “Becoming a Hawker” platform, developed by NEA and MTI.

       1. This platform consolidates tenancy information and licensing requirements into a guided digital journey.

       2. What used to involve navigating multiple websites and processes is now presented in a more intuitive, step-by-step format.

       3. For both aspiring and existing hawkers, this simplifies the administrative load and reduces uncertainty.

    3. These initiatives illustrate how digital tools can make regulatory journeys clearer, faster and less resource-intensive for businesses.
       
       Enabling Innovation Through Sandboxes

17. Last but not least, we will ensure that our regulations keep pace with innovation.

    1. As technologies evolve rapidly, our regulatory frameworks must also be flexible and responsive. 

    2. Across sectors, agencies are using sandboxes to trial new solutions safely, quickly, and at scale.

18. Last July, IMDA launched the Global AI Assurance Sandbox to help firms test and validate their generative AI (GenAI) applications against risks such as hallucination, data disclosure and vulnerability to adversarial prompts.

    1. This initiative will inform best practices and methodologies for testing of GenAI applications, and help businesses adopt AI more confidently.

    2. By setting up a learning environment with business users, governance teams and GenAI developers, we can jointly develop guardrails for GenAI applications, which will form the basis for the establishment of formal standards in time to come.

19. To support our low-carbon energy transition, we have recently launched the Virtual Power Plant (VPP) Sandbox.

    1. The VPP Sandbox is a two-year pilot that will test how VPPs can aggregate and optimise various distributed energy sources such as rooftop solar and battery energy storage systems across locations to operate as a single virtual generator and provide grid services.

    2. This will inform our future grid and market design, especially as our energy sources become more complex and diverse.

20. These examples illustrate how we are using sandboxes to shape our regulatory approach in emerging areas – whether in AI assurance or the future energy grid. By creating safe and trusted spaces for businesses to test new solutions, we will strengthen Singapore’s positioning as a hub for innovation.
    
    Conclusion

21. Once again, congratulations to all award recipients today. Your efforts show us that good regulation is not about saying “no,” but about finding better ways to say “yes.” Each success story demonstrates what we can achieve when we work together between Government and industry.

22. I would also like to thank the PEP and SBF, both of whom have been instrumental in strengthening our public-private partnership by surfacing ground challenges candidly, building consensus amongst businesses, and piloting changes that benefit the wider business community.

23. By strengthening our coordination within Government and with industry, making thoughtful use of technology, and keeping our regulatory frameworks nimble and adaptive to innovation, Singapore can remain competitive, resilient and ready for the future.

24. Thank you.