Public Sector

Introduced in 2006 and enhanced in 2014, the Public Sector Taking the Lead in Environmental Sustainability (PSTLES) initiative encouraged agencies to focus on sustainability outcomes and put in place organisational processes to manage resource use. Agencies have made good progress over the years, improving our energy efficiency, water consumption and putting in place resource management plans to institute sustainability elements in resource utilisation.

The public sector will continue to lead the way in sustainable development with the GreenGov.SG initiative, the public sector’s new sustainability movement. Launched on 12 July 2021 at the Partners for the Environment (PFE) Forum held during Climate Action Week, GreenGov.SG, is a key component of the Singapore Green Plan 2030. Under this initiative, the public sector will strive to attain ambitious sustainability targets in carbon abatement and resource efficiency and be a positive influence and enabler of green efforts. Every public officer will also be encouraged and supported to embrace sustainable practices. For more information, please visit the SG Green Plan website.

Current Situation

Building owners often carry out a 1-for-1 replacement when their equipment reaches the end of their life spans. By not considering life cycle cost, energy and cost savings cannot be maximized. Even if a life cycle approach is taken in making investment decisions, the current procurement contracts may not be able to deliver the expected improvements because:

1. There is no assurance of improved energy performance after the retrofits
2. There is a lack of accountability as different parties are involved in the selection, specification, and the installation of equipment.
3. Performance of the new equipment is not verified and tracked over the long term.

GESP Contracts in Public Sector

Public sector agencies are encouraged, under GreenGov.SG, to adopt the Guaranteed Energy Savings Performance (GESP) contracting model when undertaking building retrofit projects. Under the GESP contracting model, an accredited Energy Services Company (ESCO) is engaged to:

1. Carry out an energy audit and identify energy savings measures
2. Implement the recommended energy savings measures
3. Guarantee the chilled water plant or air-conditioning system efficiency, and the annual energy savings from the implementation of other energy savings measures over the contract term (i.e. typically 5 years)
4. Provide comprehensive maintenance to the retrofitted equipment during the contract term for better accountability

The ESCO is responsible for the entire project from audit to post-implementation monitoring and maintenance. With ESCO guaranteeing the performance of systems, building and facility owners are thereby assured of the guaranteed energy performance savings during the contract term. A permanent monitoring system with specific accuracy requirements is also installed for long term and continuous monitoring of the performance. An overview of what GESP contracting entails can be found here.

For more information about GreenGov.SG, please visit the SG Green Plan website.