SME Sustainability Hub

In support of

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Stage 1 (LEARN): Building awareness

Learn about the importance of effective water management in Singapore and how it can benefit your business.

1.1 Understanding water management and why it matters

Water is a finite resource growing in demand and Singapore is one of the most water stressed countries in the world with limited land and resources. Singapore currently consumes about 440 million gallons of water per day.  As our population and economy continue to grow, total water demand is expected to double by 2065, with the non-domestic sector expected to account for two-thirds of this demand1.

Given this growth, businesses must better manage water consumption and conserve our valuable water resources. This requires a systematic approach to assess and account for water use, and to identify, plan and implement measures to achieve water savings.

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DID YOU KNOW?

PUB, Singapore's National Water Agency, supplies potable water and NEWater to support businesses’ water needs.

Potable water

Potable water is supplied to households and businesses and is safe for drinking directly from the tap without any further filtration. In Singapore, potable water is priced to recover the full cost of its supply and production, and to reflect the cost of producing the next drop of water. Right pricing of water serves to encourage every individual and business to play a role in conserving our precious and scarce water resources, thus ensuring a sustainable growth in water demand.

The water price is reviewed regularly. To meet the higher costs of supplying and producing water, water prices were most recently revised across two phases from 1 April 2024 and 1 April 2025.

NEWater

NEWater is Singapore's very own brand of high-grade reclaimed water. It is presently supplied to commercial and industrial premises, where available, for non-potable uses such as cooling towers, suitable process uses, general washing and irrigation, etc.

All new non-domestic development proposals, including existing non-domestic premises undergoing addition/alteration (A&A) works, with cooling towers and/or processes, are required to provide a dedicated NEWater pipe system during the planning and construction/A&A works stage to take in NEWater for such usage when it becomes available in the future.

Components of Water Price Water Tariffs: Covers the costs incurred in various stages to produce and supply water and charged based on usage. Water Conservation Tax: Encourages water conservation. Imposed as a percentage of the water tariff to reinforce the message that water is precious from the very first drop. Waterborne Tax: Goes towards the cost of collecting and treating used water and maintaining the used water network, and charged based on usage.

Water Price Revisions Table compares the Non-domestic potable water prices per cubic metre with the non-domestic potable NEWater prices per cubic metre. The prices are broken down into tarrif, water conservation tax, water borne tax and its total price. For non-domestic potable water prices, the total price was at $2.74 per cubic metre, which is equivalent to 1000 litres. From 1 april 2024 it was $2.94, and from 1 April 2025 it will be $3.24. As for non-domestic potable Newater, the total price before 1 April 2024 was at $2.33, from 1 April 2024 it was $2.41 and from 1 April 2025 it wil be $2.50.  All prices are before GST. Source: PUB Water Price

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1.2 Benefits of proper water management

The benefits of practising effective water management can yield positive outcomes such as:

Cost Efficiency: Implementing water-efficient technologies and practices can lead to significant reductions in water consumption, resulting in lower utility bills and operating costs for businesses.  Enhanced Reputation: Embracing water stewardship helps the businesses to stand out in the marketplace and appeals to sustainability-minded consumers and investors. Businesses excelling in water management may also gain recognition through prestigious awards like the Singapore Watermark Awards, which honour exemplary leadership and achievements in advancing water sustainability in Singapore.

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