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Energy Efficiency Fund (E2F)

The Energy Efficiency Fund (E2F) supports the following efforts by businesses to improve energy efficiency of industrial facilities:

a) Resource Efficient Design of New Facilities and Major Expansions

b) Energy Assessment of Existing Facilities

c) Adoption of Energy Efficient Equipment Technologies 

Resource Efficient Design of New Facilities or Major Expansions

Energy efficient facilities are most effectively developed through a focused and collaborative design workshop or design “charrette” from the beginning of the project design.

What is a design workshop?

The workshop is an intensive 2 to 3-day session that fosters cross-disciplinary interaction by bringing together multi-disciplinary internal experts (“home team”) and external experts (“visiting team”) at the design stage to identify technical opportunities to improve resource efficiency (e.g. energy, water).

The other outcomes of the design workshop include conceptual designs for high-efficiency systems; and preliminary estimates of net cost and payback period.

what is a design workshop

Objective of Grant

Encourage investors of new industrial facilities or major expansions in Singapore to integrate resource efficiency improvements into manufacturing facility development plans early in the design stage.

Grant Quantum

Up to 50% of the qualifying costs, capped at $600,000.

Qualifying Costs

The design workshop fees comprising: 
  • Consultancy fees, i.e. manpower and overheads;
  • Transportation and accommodation for consultants; and 
  • Venue and other logistical costs for workshop.
Singapore GST is excluded.

The cost of implementing the recommendations from the design workshop is not supported under this component of E2F.

Eligibility Criteria

  • The owner or operator of a new industrial facility or the existing facility to undergo major expansion must be registered in Singapore;
  • The new industrial facility or the existing facility to undergo major expansion must be sited in Singapore; and
  • The detailed design of the facility must not have commenced at the time of application.
  • The energy consultants must be experienced and able to show good track record in carrying out design workshops of a comparable scale and scope. The capabilities of the selected energy consultants must be thoroughly assessed to ensure that they have the capability to design or advise on the design of the facility concerned. 

Success Stories

International Rectifier (Singapore) Pte Ltd

On 24 Feb 2014, International Rectifier (IR®), a world leader in power management technology, commenced production at its new state-of-the-art ultra-thin wafer processing facility in Singapore. This is IR’s first and currently only wafer processing facility in Asia.

Improve energy and water efficiency through design workshops
To identify opportunities for energy and water efficiency optimization, IR conducted a series of design workshops, which were co-funded under the Design for Efficiency (DfE) scheme. The design workshops were facilitated by a team of energy consultants with the participation of various stakeholders including IR’s facilities and finance teams, building contractor for the new facility, vendors and suppliers.

photo taken during workshop

Site Visit

 Photos taken during the design workshops


In the design workshops, the energy consultants and IR stakeholders reviewed the detailed design of IR’s cleanroom and facilities. Some ideas generated from the design workshops included right sizing of equipment, the use of more energy efficient equipment, installation of variable speed drives for equipment with variable loads, and improved piping design.


Piping work  PVC Piping work 1  PVC Piping work 2

 Improved Piping Design

This collaborative process involving diverse stakeholders helped IR identify cost-effective EE solutions early in the design stage. For example, by designing the piping and ducting with the minimum number of sharp bends and right angles (see photos), the pressure drop across the piping and ducting could be reduced. This in turn required smaller motors to pump liquid or blow air. The capital cost saved from the purchase of smaller motors was then used to purchase variable speed drives for the motor-driven equipment with variable loads. Smaller motors further reduced the heat load of IR’s facilities and hence lowered IR’s energy costs.

The ideas identified in the design workshops could potentially help IR achieve energy savings of about 40% (compared to a typical clean room and infrastructure facilities design) and water recovery of about 50% from the reprocessing of used Ultra-pure water. All of the savings were achieved without additional capital investment by IR. Key success factors included support from IR’s senior management, the involvement of various stakeholders especially the IR operations team, the involvement of the energy consultants before the detailed design commenced, and the full cooperation of the building contractor.

Energy Assessment of Existing Facilities


Objective of Grant

Encourages companies in the industrial sector* to carry out energy assessments for their existing facilities to identify potential areas for energy efficiency improvement.

* Energy assessments of commercial buildings (office, hotel & retail) are not supported. The Building and Construction Authority (BCA) currently offers subsidized "health checks" to help commercial building owners understand their central air-conditioning plant efficiency, under the Green Mark Incentive Scheme for Existing Buildings (GMIS-EB "Health Check").

Grant Quantum

Up to 50% of the qualifying costs, capped at $200,000 over a 5-year period for any single facility.

Qualifying Costs

Energy assessment fees comprising

  • Consultancy fees of energy consultant, i.e. manpower, overheads and expendables; and
  • Use of instrumentation and evaluation tools. 

Singapore GST is excluded.

The cost of implementing the recommendations of the energy assessment is not supported under this component of E2F.


Eligibility Criteria

  • The owner or operator of the manufacturing facility must be registered in Singapore.
  • The industrial facility for which the energy assessment is being carried out must be located in Singapore.
  • The capabilities of the selected energy consultants** should be thoroughly assessed to ensure that they match the needs and requirements of your facility.
  • Companies must have conducted a preliminary energy assessment at the time of application.
  • The detailed energy assessment must not have commenced at the time of application. The company must not have signed a contract with the energy consultant for the detailed energy assessment at the time of application.
  • The detailed energy assessment should cover the whole plant or facility. Manufacturing equipment and processes may be excluded from the assessment. For large facilities, a partial assessment covering a complete system or part of the facility may be considered. Besides energy assessments, process plants can also carry out long-term monitoring of individual system components and overall systems to identify efficiency degradation. This is known as Energy Performance Monitoring. Such projects are also eligible for funding under E2F.

** Appointed energy consultant can either be:
a) an external company, foreign or local, and accredited under the Energy Services Company (ESCO) Accreditation Scheme; or
b) qualified internal assessment teams with good track record in carrying out energy assessments of a comparable scale and scope. Such teams must provide evidence of substantial experience in carrying out energy assessments of the scale and scope intended. 

Energy Assessment Report Format

Download the guideline for the energy assessment report format here (PDF, 276 KB).

Energy Services Companies (ESCOs)

Energy Services Companies
An energy services company (ESCO) is a company dedicated to the provision of energy efficient technology and services including energy assessments, financing, design, implementation and management of energy efficiency projects.

Engaging an ESCO is one way to identify and implement energy efficiency projects in your facility. If your company lacks time, expertise or experience in identifying and implementing energy efficiency projects, engaging an ESCO can provide the expertise required to identify and implement them.

Types of Services
Companies can engage ESCOs for the range of services given below. Companies can consider the use of an Energy Performance Contract or
Guaranteed Energy Savings Performance Contract, which encompasses all the services below.  

  • Energy assessment
    An energy assessment is a detailed study on the energy consumption to identify and quantify to save energy.
  • Project financing
    Some ESCOs provide financing for energy efficiency projects. Financing for projects could be available through ESCOs or other sources. Do not let unavailability of funds prevent your company from making energy investments that pay for themselves from energy savings.
  • Project guarantee
    The ESCO can provide a guarantee that the project will achieve the promised energy savings.  Under a project guarantee, the ESCO will verify that the energy efficiency project meets the energy performance guaranteed, and will make up for any shortfall in savings.  To do that, ESCOs will provide project monitoring and verification.
  • Equipment maintenance and servicing
    To achieve the guaranteed energy savings stipulated, ESCOs often will require a maintenance contract of the equipment. Companies can enter into performance contracts for the implementation of the energy efficiency projects. More information on performance contracting can be found
  • Selecting an ESCO
    It is important to select an ESCO that matches your needs and requirements best.

    1. Request for the ESCO’s project references and track records. Carefully assess their technical expertise and experience in implementing projects of similar scale and scope to yours.

    2. Request for the ESCO’s financial statements if project financing is required. Review their financial capability and stability.

    ESCO Accreditation Scheme
    The National Environment Agency (NEA) and BCA administer an accreditation programme to enhance the professionalism and quality of services offered by ESCOs. 
    Find out more about here.

    Success Stories

    Through the implementation of the energy conservation and efficiency measures identified by energy consultants, companies have reaped significant energy and cost savings. Find out more here.

    Adoption of Energy Efficient Technologies

    Objective of Grant

    To encourage manufacturing companies, including SMEs, to invest in energy efficient equipment or technologies.

    Grant Quantum

    Up to 50% of qualifying costs

    Qualifying Costs

    • Manpower;

    • Equipment or technology; and 

    • Professional services.

    Singapore GST is excluded.

    Company Eligibility Criteria

    The applicant must:

    • be a Singapore-registered owner or operator of an existing or proposed industrial facility that is or will be sited in Singapore;

    • be recognised under the "Singapore Standard Industrial Classification (SSIC) 2015" as undertaking manufacturing activities; and

    • have a group annual sales turnover of not more than S$500 million.

    Project Eligibility Criteria

    The proposed energy efficiency project must meet the following criteria:

    • The project must involve installation and use of energy efficient equipment or technologies with a proven track record of energy savings in an industrial facility.

    • The project must result in measurable and verifiable energy savings (see requirements on measurement and verification below).

    • The project must not have commenced before the application is approved.

    • The project shall be completed within 36 months from the approval of grant.

    Projects that reduce cost, but do not demonstrate measurable and verifiable energy savings are not eligible. Examples of such projects include, but are not limited to:

    • Power Conditioning Project

    o    Power factor correction

    o    Lighting voltage regulation

    o    Harmonic current reduction

    o    Transient voltage protection

    o    Installation of voltage- and power-reducing equipment

    • Black Box Solutions

    o   Software or hardware devices (e.g. magnetic treatment of fuel) whose functioning cannot be explained by applying mainstream engineering knowledge and theories and where the efficiency improvement is not and/or cannot be established by objective measurement

    • Other Projects

    o    Load-shifting/load-management measures

    o  Measures that are not permanently installed (plug-in equipment)

    o    Projects to repair or maintain existing equipment

    o   Metering not directly associated with an eligible project

    o    Projects that result in negative environmental or health effects

    o    Solar PV

    Measurement and Verification Requirement

    A Measurement and Verification (M&V) Plan stating the method to measure, verify and compute energy savings, and the results from baseline measurement shall be in accordance with the International Performance Measurement & Verification Protocol or other equivalent international guidelines and codes. The M&V Plan should be endorsed by an independent qualified personnel (refer to M&V FAQ) and the company, and submitted to the NEA before the dismantling of existing equipment and/or systems.

    An M&V Report stating the post-implementation measurement results and endorsed by the same qualified personnel is required to be submitted after completion of the project.

    Both the baseline measurement and post-implementation measurement shall be witnessed by both the independent qualified personnel, and NEA’s project officer. The measurement data shall be secured by the independent qualified personnel, whom shall also report to NEA on how the data was secured.

    Companies should refer to the M&V FAQ and guide (PDF file, 243KB) for the M&V requirements for the grant.

    M&V is not required for projects involving the following equipment:

    • Motors rated with energy performance of IE4 or better

    • Air-conditioners that are rated four ticks or better under NEA’s Mandatory Energy Labelling Scheme.

    • LED lights with at least 100 lumens/watt (without lighting controls)

    Companies should consult NEA on the M&V requirements for energy efficiency improvement projects.

    Success Stories

    Maxsteel Enterprise Pte Ltd


    Maxsteel Enterprise processes and distributes metal products in the form of coils and cut sheets. Prior to the retrofit, Maxsteel Enterprise used metal halide high bay lamps in its factory, warehouse and storage areas during the night. Skylights were used to light up the areas during the day. Maxsteel Enterprise also used high pressure sodium lamps in its outdoor areas. 

    Project description
    To improve the energy efficiency of its facility, Maxsteel Enterprise replaced 67 nos. of metal halide high lamps and 8 nos. of high pressure sodium lamps with LED lamps. As a result, Maxsteel Enterprise reduced its lighting energy consumption by 53% and achieved an annual savings of the 22 MWh or $3,300.

    Metal Halide

    LED high bay

    Metal halide high bay lamps

    LED high bay lamps

    Application and Enquiries

    Please email or contact the following officers for further enquiries.

    Ms Eunice Koh
    DID no.: 6731 9739

    Mr Brent Liu
    DID no.: 6731 9425

    Ms Fiona Chew
    DID no.: 6731 9392