Overview

The Energy Efficiency Fund (E2F) is a grant scheme by NEA aimed primarily at manufacturing companies to support larger, customized energy efficiency projects that go beyond off-the-shelf, pre-approved equipment. E2F supports projects that deliver measurable and verifiable energy savings (and thus carbon abatement). From 1 April 2023, pre-approved energy efficient technologies can receive fixed 70% support of qualifying costs, subject to caps per facility by technology type. NEA has introduced simplifications to the Measurement & Verification (M&V) requirement, especially for smaller projects, to ease adoption.

Support Details

Support Rate

Up to 70% of qualifying costs for pre-approved technologies (enhanced from April 2023). Project-based evaluation for other technologies.

Cap

Technology-specific caps for pre-approved equipment: • Lighting (LED retrofit): S$200,000 per facility • Air-conditioning retrofit: S$200,000 per facility • Compressed Air Systems: S$350,000 per facility • Boiler/Heat-pump systems: S$350,000 per facility

Eligibility Criteria

Business Registration: Must be Singapore-registered manufacturing company operating in Singapore
Sector Code: SSIC code must be within 10XXX to 32XXX (manufacturing activities)
Annual Turnover: Must not exceed S$500 million (group basis)
Project Status: Project must not have started before E2F application approval (no contracts signed, purchase orders issued)
Project Duration: Approved project must be completed within 36 months from approval
Energy Performance: Must yield measurable and verifiable energy savings/carbon abatement
M&V Requirements: Non-pre-approved technologies require full M&V plans

Application Process

Preliminary Planning: Identify energy efficiency opportunities via energy audit, draft proposal with technical specs and energy savings estimates

Proposal Preparation: Gather baseline energy data (utility bills), cost estimates/quotations, determine if equipment falls under pre-approved technologies

Submit Application: Email application with supporting documents to [email protected]

Required Documents: ACRA Bizfile, audited financial statements (last 3 years), utility bills (12 months), quotations, equipment specs, M&V Plan (if required)

Technical Evaluation: NEA evaluates technical feasibility, energy savings assumptions, M&V plan, cost reasonableness

Project Execution: Upon approval, purchase and install equipment (must complete within 36 months)

M&V Implementation: Carry out baseline and post-implementation measurement, produce M&V Report endorsed by qualified third party

Claims Submission: Submit invoices, payment proof, delivery orders, installation photos, M&V report for disbursement

Processing Time

Technical evaluation: 8-12 weeks | Project completion deadline: 36 months from approval

Claim Process

M&V Simplifications: For grants ≤S$50,000 using pre-approved technologies, M&V may be waived

Third-party Assessment: For grants >S$50,000 with pre-approved technologies, third-party assessment report may substitute for full M&V

External Audit: If grant exceeds S$100,000, disbursement requests must be audited by external CPA

Qualified Endorsement: Same qualified endorser who approved M&V Plan must witness measurements

Disbursement: NEA disburses approved grant amount to company's bank account after claim approval

Important Reminder

Claims must typically be submitted within 6 months of project completion.

Best Practices for a Successful Application

Start with High ROI Opportunities: Focus on compressed air, boilers, efficient motors, heat recovery systems, lighting, HVAC

Check Pre-approved Status: Verify if proposed equipment is among pre-approved technologies for favorable 70% rate

No Early Commitment: Avoid signing contracts or issuing purchase orders before E2F approval

Document from Day 0: Maintain baseline energy consumption, utility bills, sub-metering, schematics, measurement plans

Engage Qualified Consultants: Work with qualified third-party endorsers/energy consultants early for M&V guidance

Stage Large Projects: Manage risk and comply with 36-month timeline by implementing incrementally

Ensure Operational Discipline: Maintain measurement protocols, data logging, calibration procedures

Budget for Audit: Projects >S$100,000 require external CPA audit for disbursement

Plan for Contingencies: Energy projects may deviate from estimates - ensure adequate buffers

Comparison: EDG vs PSG vs MRA

Grant	Purpose / Focus	Support Rate	Type of Projects Allowed
Pre-approved Technologies	LED, AC, compressed air, boiler upgrades	Up to 70% support (enhanced April 2023)	Simplified M&V, faster processing, technology-specific caps
Other Energy Technologies	Custom energy efficiency solutions	Project-based evaluation, varies by savings potential	Full M&V requirements, detailed technical evaluation

Each grant has its own strengths and constraints; many companies leverage more than one as part of their transformation roadmap.

Additional Information

Recent Enhancements (April 2023): • Pre-approved energy efficient technologies now eligible for fixed 70% support • Simplified M&V requirements for smaller projects (≤S$50,000) - M&V may be waived • Third-party assessment reports can substitute for full M&V in many cases • Technology-specific caps provide clarity on maximum support levels Key Differences from EEG: • E2F targets manufacturing sector specifically (SSIC 10XXX-32XXX) • Supports larger, customized projects beyond pre-approved equipment lists • Longer project duration (36 months vs 12 months for EEG) • Higher individual project caps but technology-specific • More comprehensive M&V requirements for non-standard technologies Maximizing E2F Benefits: • Conduct comprehensive energy audit to identify multiple improvement areas • Consider bundling complementary technologies within respective caps • Leverage pre-approved technology benefits for faster approval and higher support • Plan phased implementation for complex projects to manage risks • Engage experienced energy consultants familiar with NEA requirements Important Reminders: • Manufacturing focus makes this ideal for production facilities • Technology caps allow substantial investments in energy efficiency • Enhanced support rates from April 2023 significantly improve project economics • Simplified M&V reduces administrative burden for smaller projects • 36-month implementation window provides flexibility for complex installations