Overview

The Energy Efficiency Grant (EEG) helps businesses co-fund investments in energy-efficient equipment to reduce electricity/energy costs and carbon emissions. The grant comprises two tiers of support: 1. Base Tier: For pre-approved energy efficient equipment, with a cap of S$30,000 per company 2. Advanced Tier: For larger investments where equipment need not be pre-approved, but must demonstrate lifetime energy/carbon savings above a threshold. Total cap is S$350,000. The grant window runs from 1 April 2024 to 31 March 2026. After approval, companies have up to 1 year to purchase/install equipment and submit claims.

Support Details

Support Rate

Base Tier: Up to 70% for SMEs, 30% for non-SMEs | Advanced Tier: Lower of support rate or computed grant based on lifetime carbon/energy savings (≥350 tCO₂e)

Cap

Base Tier: S$30,000 per company | Advanced Tier: S$350,000 total (including Base tier usage)

Project Duration & Scope

Equipment must be purchased and installed within 1 year from grant approval. Equipment must remain installed and in use for at least 1 year after final claim approval.

Eligibility Criteria

Business Registration: Must be registered and operating in Singapore
Local Shareholding: At least 30% local shareholding (except for data centre users)
Annual Turnover: Group annual sales/turnover ≤ S$500 million
Base Tier Sectors: Construction, Food Services, Manufacturing, Retail, Maritime, Data Centres
Advanced Tier Sectors: Construction, Manufacturing, Maritime only
Equipment Use: Equipment must be deployed in Singapore in the claimed sector/location
Pre-approval: Base tier equipment must be from pre-approved list; Advanced tier need not be pre-approved but must meet savings threshold
Project Timeline: Project must not have commenced (no payment/contract) before application approval

Application Process

Preliminary Assessment: Conduct energy audit to identify equipment for upgrade and check pre-approved equipment list

Vendor Quotations: Collect quotations, product brochures, technical documentation, site info (utility bills, tenancy)

Submit Application: Apply via Business Grants Portal (BGP) for Base Tier, or through sector agencies for Advanced Tier

Wait for Approval: Do not sign contracts or make payments until EEG application is approved

Project Execution: Purchase and install equipment within 1 year from grant approval

Submit Claims: Through BGP (Base) or sector agency (Advanced) with invoices, payment proofs, installation evidence

Disbursement: Grant disbursed via PayNow Corporate or GIRO after claim approval

Processing Time

Base Tier: ~6 weeks for complete application | Advanced Tier: Varies by sector agency

Project Duration & Completion

Equipment must be purchased and installed within 1 year from grant approval. Equipment must remain installed and in use for at least 1 year after final claim approval.

Best Practices for a Successful Application

Start with High-Impact Items: Prioritize equipment with strong energy savings and shorter payback periods

Leverage Matching Rate: SMEs get up to 70% support - plan bigger upgrades that make business sense

No Early Commitment: Avoid signing contracts or making payments before application approval

Document Thoroughly: Maintain clear, timestamped evidence (photos, serial numbers, site pictures)

Bundle Multiple Items: Apply for multiple equipment pieces within caps and rules

Monitor Caps: Track Base tier allocation (S$30,000) usage for future upgrades

Validate Technical Specs: Ensure equipment specs match EEG technical requirements

Check Sector Rules: Some sectors have additional rules for Advanced Tier applications

Apply Early: Grant window ends 31 March 2026 - begin planning early

Comparison: EDG vs PSG vs MRA

Grant	Purpose / Focus	Support Rate	Type of Projects Allowed
Base Tier	Pre-approved energy efficient equipment	Up to 70% (SMEs), 30% (non-SMEs)	LED, AC, refrigeration, cooking equipment from approved list
Advanced Tier	Larger energy efficiency investments	Based on lifetime carbon/energy savings calculation	Custom equipment demonstrating ≥350 tCO₂e lifetime savings

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

Additional Information

Important Reminders: • Two-tier system allows flexibility for different investment scales • Base tier focuses on proven, pre-approved equipment for quick adoption • Advanced tier supports larger, custom energy efficiency projects • SMEs benefit from higher co-funding rates (70% vs 30% for non-SMEs) • Data centre users may be exempted from local shareholding requirements • Equipment must meet specific technical specifications and energy ratings • Holding period of at least 1 year after claim approval ensures sustained benefits Sector-Specific Notes: • Construction: Apply through BCA for Advanced Tier • Maritime: Apply through MPA for Advanced Tier • Manufacturing: Wide range of equipment categories available • Data Centres: Special considerations for cooling and power systems Maximizing Benefits: • Start with energy audit to identify highest-impact upgrades • Consider bundling multiple equipment types within cap limits • Plan timing to complete installation within 1-year window • Maintain detailed documentation throughout the process