Singapore Contracts 2.2 Million mt of Paris-Aligned Nature-Based Carbon Projects
Singapore has awarded contracts for 2.175 million metric tons (mt) of Paris Agreement-aligned nature-based carbon credits, valued at about S$76 million ($59 million), from four Global South projects to be delivered between 2026 and 2030, according to a government release Tuesday.
The National Climate Change Secretariat and Ministry of Trade and Industry made the announcement following a Request for Proposal (RFP) issued in September 2024 and closed in February 2025. The tender attracted 17 bids worth more than S$1.3 billion, including offers from major players such as Trafigura and Shell.
The program supports Singapore’s pathway toward cutting national emissions to 60 million mt by 2030 and achieving net zero by 2050.
The contracted credits were secured at an average cost of $27.34/mt CO₂e, according to OPIS calculations, which includes REDD+ in Peru, agricultural land management in Paraguay, and afforestation, reforestation and revegetation (ARR) in Ghana. Eligible projects are based in countries that have signed bilateral carbon trading agreements with Singapore.
For comparison, OPIS on Monday assessed REDD+ Vintage 2026 credits at $12.625/mt and ARR V26 at $25.343/mt, highlighting the premium commanded by early Article 6-compliant transactions over voluntary market benchmarks.
All four contracted projects are listed on the Verra Registry:
- Peru: Kowen Antami REDD+ (VCS 5394) and Together for Forests REDD+ (VCS 5442)
- Paraguay: Boomitra Grassland Restoration through Soil Enrichment (VCS 3291)
- Ghana: Kwahu Landscape Restoration Project (VCS 5432)
The Ghanaian ARR project, still under validation, counts Temasek-owned GenZero as an investor. GenZero signed an MoU with developer AJA Climate Solutions in June 2023 to invest S$30 million.
Singapore intends to launch a second RFP for Article 6-compliant credits later this year.
–Reporting by Sang Ah Lee, slee@opisnet.com; Editing by Lujia Wang, LWang@opisnet.com