Committee of Supply 2025 debate, Day 5: Tan See Leng on resourcefulness to overcome tight resources

Singapore has always been tight on resources, but it is “never short on resourcefulness”, said Second Minister for Trade and Industry Tan See Leng. Its constraints have compelled it to be innovative and brought the country to where it is today, he said in parliament on Thursday (Mar 6). Dr Tan said he is confident this same innovative spirit will drive Singapore’s continued growth. To address the challenges, the government will expand Singapore’s potential through four strategies - decarbonising the energy mix, investing in workers, sustaining investments in research and innovation, and enhancing land productivity. On the efforts to decarbonise, Dr Tan stressed the need to explore every pathway. The government will strengthen research efforts and commit S$62.5 million for A*STAR to develop a low-carbon technology testbed to support companies in scaling up low-carbon solutions closer to commercial development. Addressing concerns over the potential impact of decarbonisation on energy costs, Dr Tan said households will continue to get support through measures such as U-Save rebates while businesses will be supported through initiatives like grants. The government will fully channel the carbon tax revenue collected towards the decarbonisation efforts and does not expect to derive additional net revenue from it in this decade. Turning to land policies, Dr Tan said the government will support businesses in intensifying land use and to be more productive. It will enhance the Land Intensification Allowance scheme to unlock new industrial space. JTC will introduce a five-year Flexible Lease Extension Initiative and broaden its definition of plant and machinery investments to include those in digital transformation and intellectual property creation.