ESS-EMA-NCCS ESSAY COMPETITION 2012

“Identifying Opportunities and Powering Sustainable Growth in Singapore”

Chiu Chai Hao

Singapore Armed Forces,

Basic Military Training Centre, School 4

Abstract

Faced with challenges from growing resource constraints and threats from global climate

change, there are nonetheless opportunities for Singapore to tap into. Leveraging on her

socio-political stability, sound economic fundamentals and strong rule of law, Singapore is

well-poised to obtain a global leadership in clean technology and urban management

solutions. This is especially so with the urban populations projected to increase significantly

in the near future, increasing the demand for this industry. Similarly, Singapore can become

a centre for testbedding of clean technology and urban management, given our proximity to

major markets and available infrastructure. Diversifying portfolio and exploring alternative

energy sources are strategies towards achieving energy security, this essay advocates

greater exploration into geothermal energy, a possibly neglected option. At the same time,

innovative transport solutions such as experimenting with the bicycle-hire scheme will aim to

alleviate the strains on public transport infrastructure, besides government investments.

Eventually, while top-down approaches dominate the nature of policies in this essay due to

the importance of government in this sector, education and involvement of the community

since young helps to nurture a critical mass of talent pool and ensure the engagement of the

locals in policy-making process.

Identifying Opportunities and Powering Sustainable Growth in Singapore

Climate Change and Energy Challenge: Threats to Singapore

In a single decade, climate change has transformed from a conjecture to an inconvenient

truth. The Intergovernmental Panel on Climate Change (IPCC) reports that anthropogenic

sources1 of greenhouse gas (GHGs) emissions is the likely2 source of enhanced greenhouse

effect – best captured by the rising global carbon dioxide (CO2) concentrations and average

temperatures.3

Figure 1: This graph, based on the comparison of atmospheric samples contained in ice

cores and more recent direct measurements, provides evidence that atmospheric CO2 has

increased since the Industrial Revolution. (Source: NOAA, NASA)

1 Human activities that produce greenhouse gases (GHGs), such as burning of fossil fuels for electricity and in vehicles as well as deforestation. 2 With more than 90% confidence (Source: IPCC, AR4)3 Global CO2 concentrations are higher than they have been in the past 650,000 years. The 2011 average annual concentration of CO2 in the atmosphere (from Mauna Loa Observatory) is 391.57 parts per million (ppm). Historically, CO2 concentrations in the last 650,000 years ranged from 180 to 300ppm, and has been on the rise since precise measurement of atmospheric CO2 levels in 1958. Correspondingly, global average temperatures have also risen by about 0.74 oC in the last century (Sources: NASA, NOAA and IPCC, AR4)

Figure 2: Global Surface Temperatures on the Rise. Four independent sets of data from

various institutes re-affirm the enhanced greenhouse effect – which sees the Earth become

warmer. (Sources: NASA Goddard Institute for Space Studies, NOAA National Climatic Data

Centre, Met Office Hadley Centre/Climatic Research Unit and the Japanese Meteorological

Agency)

A small, low-lying, island-city, Singapore is vulnerable to the effects of global climate

change.4 Higher temperatures, saltwater intrusion due to rising sea levels, loss of

biodiversity and risks of food shortages are few of the multi-faceted impacts of climate

change. This global crisis will reduce our quality of living and bring about huge economical

impacts, ecological effects notwithstanding.

Being highly dependent on imported energy is yet another concern for Singapore. With rising

world energy demand in recent years5, given the price-inelastic nature of demand and

4 Due to both the small land are (778 km2) and low relief, where most of it less than 15m above sea level. 5 Economic growth and increased economic activities results in the increasing demand for energy, led by the emerging economies, in particular China.

supply, fossil fuel prices have increased sharply. With the trend likely to remain for the near

future, the rising energy costs pose a serious challenge to Singapore’s economic

competitiveness and growth.6

Opportunities in Sustainable Development and Recommended Policies

“When written in Chinese, the word "crisis" is composed of two characters – one represents

danger, and the other represents opportunity.” - John Fitzgerald Kennedy

As the Economic Strategies Committee outlined, Singapore needs to “become a smart

energy economy that is resilient, sustainable and innovative” to overcome the challenges

and seize the opportunities in a sustainable growth path. While a sustainable growth path

offer a plethora of opportunities, this essay propose strategies that the writer deems to be

more relevant to Singapore.

Gains from a Sustainable Growth Path

Benefits from a sustainable growth path are far-reaching. While diversifying portfolio

achieves energy security that underpins price stability, increasing energy efficiency helps to

reduce firms’ operating costs and households’ living costs. These cost savings helps to

achieve critical resource productivity gains that Singapore is in need of.7

6 With cost-push inflation increasing industrial and living costs, an inflationary spiral can be triggered. At the same time, the reduced cost-competitiveness could result in lower chances of MNCs relocating to Singapore. Higher food and energy costs, by increasing costs of living, have the potential to widen income disparity. 7 Productivity-led growth has been oft-heard in local economic discourse. Indeed, there is significant room for improvement in productivity. In manufacturing and services, Singapore’s productivity levels lie at 55-65% of the US and Japan, in the retail sector, productivity is a mere third of the levels in the US. (Source: Economic Strategies Committee)

Moreover, adopting a sustainable growth path, as will be explored later, confers Singapore

with a competitive advantage8 that allows her to benefit from the growing industry by

developing her niche in the area.

i. Achieving Energy Security – Diversification and Increasing Energy Efficiency

As an energy price-taker, diversifying her energy portfolio and increasing energy efficiency

are the main thrusts that could insulate her from future price hikes.

Government policies are important in ensuring the diversification of energy portfolio since the

free market will tend towards the lowest cost solutions. Also, the government and

government-linked corporations, by investing in the critical mass and providing for the high

upfront costs, can lower the entry barriers and make the market more attractive for firms and

providers. Infrastructure such as long-distance, high-voltage cables to import and export

electricity from the region allow us to tap into the renewable energy sources of the region

(e.g. hydroelectricity from the Mekong region).9

Looking into renewable energy for diversification, Singapore has limited options. The lack of

major river systems, low wind speeds (below commercially-viable speeds) and limited land

and sea space makes hydro, wind and tidal energy non-economical. Solar energy,

meanwhile, remain as the focus of alternative energy development programmes given

Singapore’s high insolation.

Even though renewable energy achieves security and sustainability, it is still unlikely to

replace conventional energy sources given the high, albeit falling costs of production. Thus 8 A country gaining competitive advantage refers to it becoming more competitive in the specific industry by exploiting economies of scale and agglomeration advantages. 9 This is modelled after the successful Liquefied Natural Gas (LNG) Terminal, which has drawn huge demand even before its completion in 2013. The LNG Terminal allows LNG to be imported and exported from and to the region, making Singapore a ‘regional gas hub’. (Sources: http://www.straitstimes.com/BreakingNews/Singapore/Story/STIStory_766378.html, http://www.straitstimes.com/BreakingNews/Singapore/Story/STIStory_766097.html) The cable will also allow Singapore to explore nuclear energy (generated by neighbouring country) while allaying safety concerns.

renewable energy (mainly solar) should constitute a small, but consistently increasing

portion of total energy. Support for R&D efforts, test-bedding programmes will continue to

grow in view of the opportunities arising from them, as will be covered later. Steady

development in the relevant infrastructure allows Singapore to seize the opportunity to step-

up energy production once solar power is more economically feasible than conventional

sources.10 (See Appendix 1)

Besides considering the feasibility of nuclear energy, the government should also

commission a study on the feasibility of geothermal energy in Singapore. Both are less-

explored options, but the latter is relatively cleaner, cheaper and less controversial.11

However, the perspectives on the potential on geothermal energy are divided. While the

National Climate Change Secretariat states that “prospects are low and uncertainties are

high”12, Geography and Environmental Engineering professors in National University of

Singapore suggest the contrary, advocating a structured, comprehensive S$2 million

feasibility study13.

Simultaneously, increasing energy efficiency as a demand-management policy allow more to

be achieved with less. Under the Sustainable Development Blueprint by the Inter-Ministerial

Committee on Sustainable Development (IMCSD), Singapore aims to increase energy

efficiency (energy use by S$GDP) by 35% from 2005 levels by 2030. As alluded to by the

Stern Review on the Economics of Climate Change, the key drivers of policies to ensure

10 Solar Power is expected to become cheaper than conventional sources by 2015. See Appendix 3.11 While technology may have improved the safety of nuclear generators, there is still a need for proper disposal of radioactive waste – which constitute a high variable cost. Public resistance is also likely to be strong for nuclear projects tend to bring the spectre of Chernobyl, Three Mile Island and recently, Fukushima. Similar concerns have already been raised ever since the government announced that it will look into the feasibility of nuclear energy. 12 The government’s stance on geothermal energy, represented by the NCCS. Source: http://app.nccs.gov.sg/page.aspx?pageid=11313 With world-class high heat flow (of high temperatures 2km underground) and hot springs together with new, cheaper technology, geothermal energy (the authors allege) has the potential to provide electricity, cooling, heating and desalination facilities that are strategic to Singapore. Nonetheless, a feasibility study is required to ascertain the costs and dangers (such as human-triggered seismic activities) that could result. Source: http://esi.nus.edu.sg/docs/event/oliver-egs-hsa-concept-for-singapore-ppt-sg$-ppt-for-chevron.pdf?Status=Master

energy efficiency are that of credibility, certainty – for they provide strong signals on the

determination of the government, compelling the private sector to become energy-efficient.

In this light, the government should lead the private sector in the adoption of energy efficient

technology, policy and practices. For instance, the government could set the standards for

energy audit schemes that are gradually introduced to firms before making them mandatory.

Hence, Singapore should provide relevant platforms (such as audit firms) for the private

sector to adopt public sector initiatives.

Sharing of knowledge, best practices and establishing partnerships between SMEs and firms

in the private sector could prove beneficial here, especially with the introduction of the

Energy Conservation Act.14 Greater energy efficiency across the sectors allow firms to be

more cost-effective, achieving gains in resource productivity and making them more resilient

in face of resource constraints.

ii. Promoting R&D Clean Energy and Green Technology

Given that science is a crucial part of innovation, Singapore should capitalize on its strengths

in science and engineering, advanced R&D infrastructure and continue to invest heavily in

scientific research, especially in the areas of clean technology and urban management. 15

Singapore’s unique conditions, coupled with the growth opportunities stated earlier, brings

about growth potential for innovative solutions from our R&D efforts.

Singapore’s strong engineering base will allow it to branch out to meet the demands of

sustainable growth paths. However, greater focus will have to be placed on R&D in clean

14 The Energy Conservation Act is slated to be introduced and enforced in FY2013. By mandating energy management practices, the act will focus the companies’ attention on energy issues, and complement existing schemes and capability building programmes which provide support for companies investing in energy efficiency. Countries such as Japan, Korea and Denmark already require such practices.15 Siemens’ Picture of the Future (PoF) process identified seven research programmes that could be recommended under the Sustainable Development theme – Waste Management, Sustainable Manufacturing, Sustainable Fuels, Chemicals and Materials, Solar PV, Green Buildings, Energy Storage, and Intelligent Eco-city Infrastructure & Systems.

technology and urban management solutions. This is by no means an easy task. As

research on environment and sustainability issues are often and increasingly

multidisciplinary, Singapore should provide more grants for its interdisciplinary research

institutes, and focus on capability-building for the future. Capability-building, as will be

described later, will begin primarily through environment and sustainability education.

iii. Global Exporter of Clean Technology and Urban Solutions

The global low-carbon industry is growing with greater awareness of the environmental

challenges.16 With climate change rearing its ugly head and rapid urbanisation in emerging

economies (particularly in Asia) requiring efficient urban solutions,17 scaling up existing

investments in clean technology and sustainable industries18 will help Singapore seize

opportunities for research, businesses and jobs. This essay identifies export of clean

technology and urban solutions as a key industry Singapore should establish a niche in,

especially with her proximity to Asian markets and advantages in the region.19

Singapore should establish a competitive advantage in this niche area. Her unique

geographical location allows businesses and investments from the West to reach the Asian

markets with ease. Close to some of the largest tropical rainforests and sprawling urban

centres, there are huge opportunities for R&D in the world’s oldest and most biologically

diverse lowland forests for natural products as well as urban management solutions.20

Leveraging on her business friendly environment, strong R&D infrastructure, socio-political

16 The ESC expects growth rates of 12% until 2020.17 In fact, energy efficiencies in emerging markets are lower than that of developed economies. China, for one, is three times more inefficient than the United States of America. 18 Specifically industries such as, but not limited to waste management, alternative (solar) energy, water reclamation, pharmaceuticals (from the diverse plant products in tropical rainforests), ecobiology, sustainable forestry, environmental consultation and urban planning. 19 The UN estimates urban population globally to nearly double from 3.3 billion (2007) to 6.4 billion (2050) with more than half of this increase to take place in Asia. Source: UN World Urbanisation Prospects: The 2007 Revision.20 Tropical Rainforests in Borneo, Peninsula Malaysia and Sumatra, up to 70 million years old, are hotbeds of biological products. (Source: http://www.blueplanetbiomes.org/se_asian_rnfrst.htm). While burgeoning cities in Indonesia, Philippines and even China present future demands for urban management solutions.

stability and sound intellectual property environment that other regional cities have yet to

rival will allow Singapore to develop her aforementioned niche to meet the burgeoning

demand from developed economies and emerging markets.

Aligning itself with consumer markets of the future allow Singapore to remain economically

competitive and relevant. While developed economies’ efforts in reducing budget and trade

deficits will result in sluggish growth and declining trade importance, they are still significant

for their technological edge and share of global GDP. Developing economies, meanwhile,

represent the next wave of opportunities.21 Increased integration within ASEAN will improve

access to neighbouring markets, allowing ASEAN, with 601 million potential consumers to

Singapore’s 5 million to become an economic hinterland for Singapore.22 As the region

moves towards greater economic development, economic opportunities in exporting

sustainable solutions and expertise are indeed immense.

Already home to some 7000 companies, endeavours to attract MNCs and other Globally

Competitive Companies (GCCs) should continue, especially for the clean energy and

sustainable development sector. Singapore can become a high-end manufacturing, services

and consultation hub in this area by attracting MNCs and GCCs into Singapore, integrating

local SMEs as part of the supply chain or strategic partners. Expansion of this industry will

not only enhance export competitiveness, employment and growth, but also the inherent

capacity of the country through technology and skills transfer. Sharing of best-practices and

energy efficiency schemes can achieve cost-savings and critical productivity gains for

foreign and local firms alike. Hence relevant statutory boards should actively nurture the

business-friendly environment through incentives and schemes.

21 The IMF January 2012 World Economic Outlook forecasts that emerging economies will grow by 5.4% this year and 5.9% in 2013, as compared to developed economies, estimated to grow at 1.2% and 1.9% in 2012 and 2013.22 ASEAN, with its combined GDP of US$1.8 trillion, would rank as the ninth-largest economy in the world. Source: EC.Europa.eu, European Union Relations with ASEAN. Retrieved 29 October 2010. Moreover, with most of its member countries being on-track for economic development – such as Indonesia, and notable Myanmar following her successful elections last month, growth potential of the region is huge.

Yet the road ahead is not free of challenges. China has already signalled intention to

develop the profitable green industry as well, with generous state subsidies indicative of her

interest to become a global leader in this field. However, intellectual property rights remain

as the key deterrent of FDI from innovative industries into China. This makes it critical for

Singapore to step-up her efforts in pursuing the sustainable growth path.

As a platform to Asian markets, Singapore can also act as a consultation services hub for

firms seeking to invest in the region. Consultancy companies in consumer-related fields23

can be attracted or nurtured to provide upstream research on consumer trends and

demands in the Asian markets, as well as data-gathering and consumer-prototyping. Local

universities and think tanks could play a part in improving the investors’ understanding of the

region, such that products and services are tailored to suit the Asian markets.

iv. Global Testbed Centre for Clean Technology

The compact24 and highly urbanized nature of Singapore makes it an ideal site for

testbedding, experimentation and modification (as the ESC describes, the “living lab”)

before commercialising and exporting the improved technology. It has been estimated

that by 2030 two-thirds of the world population will live in urban centres, clear evidence

of the growing demand for urban management solutions to house the population without

straining the capacity of urban infrastructure.

Singapore is in good position as a pilot city for pilot-scale integrated systems to be built

and trailed. Key precincts, such as the Marina Bay District, Treelodge@Punggol and

Jurong Lake District have already become such test-bed centres.25 In these centres, new

23 such as marketing, branding, design, consumer research, market intelligence and analytics;24 In being the country with the highest population density in the world, at 7,257 persons/km2. (Source: Singstat)25 Jurong Lake District, named by IBM as Smarter Cities Challenge Grant Recipient for 2012, is a beneficiary of such international efforts for sustainable solutions in cities. (Source: http://www.ura.gov.sg/pr/text/2012/pr12-29.html) 7 May 2012.

concepts and prototypes developed at research centres and universities in collaboration

with private sector partners can applied through government-supported test-bedding

programs before their entry into regional and global markets. Leveraging on the

abovementioned strengths of Singapore as a platform to Asian markets, we are able to

(1) benefit from the range of sophisticated, cutting-edge urban solutions, (2) obtain new

avenues of economic growth, (3) buttress the expertise in the related sectors of

research, engineering and consultancy services and (4) assist the development of local

SMEs in partnership with MNCs and GCCs. These benefits are evident from the

successful example of aerospace industry. (See Appendix 2)

v. Managing and Improving Transport Infrastructure

Developing a world-class transport system has been the main thrust of transport

sustainability in land-scarce Singapore, since public transport impose a smaller ecological

footprint than private transport. Yet recently, frequent disruptions to train services and

alleged stresses to the Mass Rapid Transit (MRT) infrastructure have put public transport

under-fire, especially since MRT is the main mode of communication. While the ongoing

Committee of Inquiry will prescribe necessary preventive measures, we need to recognise

that the total population increase has been too fast for the pace of development,

construction and opening of new MRT lines.26

In terms of supply, replacement schedule for buses presents opportunities as half the bus

fleet needs to be replaced by 2016.27 Adoption of clean and efficient engines for public buses

should be mandated by government and subsidised if necessary, since the buses would cost

more. This help to reduce costs for public transport operators, giving them greater capacity

26 Average MRT and Bus riderships reached 2,069,000 and 3,199,000 trips daily in 2010. (Source: Land Transport Authority, 2011)27 5 years from the publication of the ESC report.

to absorb cost increases before raising fares.28 Other benefits accrued transcend the

financial aspect too. The Public Transport Council (PTC), for one, can assist the government

to enforce minimum efficiency standards on the operators.

This essay also proposes the slow adoption of a nation-wide cycling program to complement

the current public transport system. Bicycle tracks linking residential estates to key transport

nodes such as MRT stations and key bus-stops allow commuters to reduce their carbon

footprint and avoid congestion (and reducing congestion simultaneously). More bicycle

stands and enhanced security features would be the first phase of the program, before

developing into the bicycle-hire schemes seen in London and Dublin today.29 A residential

estate can be the first for testbedding of the new scheme, and public feedback,

recommendations and improvements collected will allow smoother implementations at other

estates in the future.

vi. Encouraging Community Participation and Stewardship through Education

This essay proposes environment and sustainability education, introduced to all sectors of

the society ranging from pre-schools, schools, institutions and communities to engage a

broad base of the population.

Currently, the concepts of environmental protection and sustainable development are

integrated into the different mainstream subjects such as Social Studies and Geography.

While this is still a reasonable approach, this essay also urges relevant authorities to study

the feasibility of introducing the interdisciplinary subject of Environment and Sustainability

Studies from Primary to Tertiary levels. Greater experimentation and innovation freedom

28 Alternatively, recognising the government’s budgetary constraints, regulatory measures can be put in place, mandating a fixed percentage of profits to be directed towards fleet replacement and specifying energy efficiency standards for new buses purchased. At the same time, PTC reviews have to avoid significant increases in transport fares simply due to adoption of more efficient cars. 29 Dublinbikes is one of the most successful bike rental schemes in the world, with more than 58,000 subscribers and 2.2m rentals. Success is attributed to the low costs that encourages adoption by both visitors and residents alike, as well as the enthusiasm of the locals. (Source: http://www.guardian.co.uk/environment/bike-blog/2011/aug/04/dublin-bike-hire-scheme)

should also be encouraged - students should to be allowed to propose, initiate and conduct

projects in their schools with relevant support, or at least without excessive interference or

restrictions. By imparting comprehensive knowledge about this subject, it plays a critical role

for Singapore to nurture a greater talent pool in this growing industry.

Also, to equip students, adults and elderly citizens with knowledge on sustainable

development and energy conservation methods also allow the government to achieve her

goals of energy efficiency through a broad-based approach and enable the population to

better appreciate and participate in related policies. While most of the approaches

mentioned earlier are top-down approaches that have been the main mode of policy

processes so far, recent political trends in Singapore has seen a greater demand for

engagement of the locals in the policy processes.30 Bottom-up approaches in policy-making

is gaining traction locally, and rightly so as it involves and reflects the interests and insights

of the relevant stakeholders.

vii. Singapore: Attractive, Green, Competitive.

Technology and talent are the twin drivers of future growth. While Singapore is building up

our technology and innovation capacity, adopting the sustainable growth path will make

Singapore an attractive talent destination. Sustainable growth path ensures that Singapore is

an attractive and dynamic global city for people to work, live and play in. As foot-loose top

talents settle and assimilate into Singapore, they bring along with them diverse economic

and business opportunities.

Conclusion

Adaptation is a multi-dimensional process and any shifts will involve overcoming inertia. The

new areas require new capabilities and skills from the workforce, but a successful shift will

enable Singapore to sustain growth with higher productivity while creating quality jobs with

30 As can be seen from the recent issues surrounding the land from the disused KTM rail and Bukit Brown Cemetery.

good wage growth for the majority of the population. Thus the government, while attracting

MNCs and GCCs, will also have nurture her inherent capacity that enable local SMEs to

compete and own a genuine stake in Singapore’s future growth from a sustainable growth

path.

Meanwhile, as with economic restructuring efforts, the transition will bring greater uncertainty

and challenges. The government should be ready to offer assistance to the vulnerable

groups in the economy, minimizing the impact of the transition, for instance, through skills

retraining and upgrading.

In sum, Singapore has the potential to be the trendsetter and leader in a sustainable growth

path, tapping on her unique economic nature. Also, this essay envision the government as

an enabler and facilitator of this shift, as government policy remains crucial though there

needs to be greater shift towards bottom-up policies. However, this is not to suggest the

government to replace the free market, but rather to assist it through policy incentives.

Appendix 1 – Increasing Economic Feasibility of Solar Power

Over the past decade, the capital cost of PV in Singapore and other countries have fallen

dramatically (see Figure 4), while fossil fuel energy costs continue to rise. Grid parity 31 has

31 Grid parity is the point where renewable electricity is equal to or cheaper than wholesale electricity cost.

already occurred in some international markets, and can be expected in Singapore. It is very

likely that grid parity in Singapore is expected to be achieved by 2015, and cost parity32 to be

achieved by 2020.

Figure 3: Price experience curve (learning curve) for silicon wafer based photovoltaic

modules. World market prices are shown as a function of the global cumulative shipment

(logarithmic scales). The red line represents price reductions according to a learning factor

of 0.8, i.e. a price reduction by 20% for each doubling of the shipment. The strong reduction

of prices is due to: (1) economies of scale; (2) optimisation of production in industry; (3)

reduced company margins in the course of the economic crises and (4) a multitude of highly

essential innovations from R&D.

Source: A*STAR

Appendix 2 – Singapore’s Successful Aerospace Cluster Example

The Aerospace Cluster in Singapore is a fast growing one with good sustainable prospects.

Singapore’s aerospace industry grew from US$13 billion in 2000 to more than double in

2008 with an estimated figure of approximately US$27 billion, with CAGR (Compound

Annual Growth Rate) of over 10%. This 10% CAGR is expected to continue to 2020.32 Cost parity: Parity with the price of traditional fossil fuels. Does not include grid charges

This sector is anchored by world leading companies such as ST Aerospace, Pratt &

Whitney, GE and Rolls-Royce. In particular, Singapore is well recognised as an MRO

(Maintenance-Repair-Overhaul) hub with a quarter of Asia Pac’s market share, or 7 to 8

percent of the global market. This makes the strong case for close, strategic partnership and

integration of SMEs with the MNCs and GCCs.

The success of the sector is tied closely to the early-years investment in technologies such

as materials sciences, physics, precision engineering and electronics. These traditional

strengths enabled Singapore to enter into the high value-add activities of manufacturing the

engine parts, avionics and airframe parts, and provide the supporting services such as

inspection and testing. As a consequence, the skilled employment in this cluster has tripled

to over 10,200 in 2002 – 2008, of which 80% of the workforce is made up of Singaporeans

and Permanent Residents.

A*STAR Aerospace Consortium

To further strengthen the strategic alliances of the players within cluster, and sustain

technology leadership and efficacy through R&D, the A*STAR Aerospace Consortium was

launched in Jan 2007. This is the world’s first-of-its-kind aerospace consortium comprising

the four aerospace giants of Boeing, Pratt and Whitney and Rolls-Royce and A*STAR

Research Institutes as founding members, and it is the first time that the in-competition

giants are collaborating on a common platform to chart R&D strategy and direction in the

aerospace industry. The consortium not only actively engages industry players as well as

R&D community, but also taps on existing capabilities, infrastructure and resources in all the

research institutes under the Science & Engineering Research Council of A*STAR to

conduct pre-competitive research and address technological challenges in various aspects.

Members, including the SMEs, have full access to the R&D results developed under the

programme and have the option of attaching their company staff to the programme to work

on joint projects with researchers from SERC research institutes. This lays the ground for

innovation in the global aerospace industry through Singapore-made technologies, facilitates

eventual technology transfer of the research conducted, and presents opportunities for our

local supporting industries to build new capabilities that will anchor global players in

Singapore.

Source: A*STAR