Sustainability Policy Template for Singapore

A Sustainability Policy outlines how an organization commits to environmental and social responsibility while maintaining profitable operations. It sets clear goals and practices for reducing environmental impact, managing resources efficiently, and supporting community well-being - all key requirements under Singapore's Environmental Protection and Management Act.

These policies typically cover areas like carbon emissions, waste reduction, sustainable procurement, and social initiatives. Companies listed on the Singapore Exchange (SGX) must include this policy as part of their mandatory sustainability reporting, showing how they align business growth with environmental stewardship and meet regulatory standards under the SGX sustainability reporting guide.

Companies need a Sustainability Policy when expanding operations in Singapore, pursuing environmental certifications, or preparing for SGX listing requirements. It's especially crucial when seeking green financing, participating in government tenders, or demonstrating ESG commitments to stakeholders and investors.

The policy becomes essential during environmental compliance audits, when documenting carbon reduction efforts under Singapore's Carbon Pricing Act, or responding to regulatory inquiries. Organizations also rely on it when launching new eco-friendly initiatives, managing supply chain sustainability requirements, or reporting their environmental impact to meet SGX sustainability reporting guidelines.

• Basic Environmental Policy: Focuses on core environmental commitments, waste management, and resource conservation - ideal for SMEs starting their sustainability journey
• Comprehensive ESG Policy: Covers environmental, social, and governance aspects, including detailed carbon reduction targets and stakeholder engagement - suited for SGX-listed companies
• Industry-Specific Policy: Tailored to sector requirements like manufacturing, construction, or finance, addressing unique environmental impacts and regulatory compliance needs
• Supply Chain Sustainability Policy: Emphasizes responsible procurement, supplier assessment, and sustainable logistics - essential for companies with complex supply networks

• Board of Directors: Approves and oversees the Sustainability Policy, ensuring alignment with corporate strategy and SGX requirements
• Sustainability Officers: Draft, implement, and monitor policy compliance, coordinate reporting, and track environmental metrics
• Department Heads: Integrate sustainability practices into their operations and ensure staff compliance with policy guidelines
• External Stakeholders: Investors, regulators, and community partners who rely on the policy to assess company commitments
• Employees: Follow policy guidelines in daily operations, participate in green initiatives, and contribute to sustainability goals

• Environmental Assessment: Review current environmental impact, resource usage, and carbon footprint data across operations
• Regulatory Review: Check SGX sustainability reporting requirements, Carbon Pricing Act obligations, and sector-specific regulations
• Stakeholder Input: Gather feedback from department heads, employees, and key partners on sustainability goals and challenges
• Resource Planning: Identify available budget, personnel, and tools needed for policy implementation
• Target Setting: Define measurable environmental goals, timelines, and KPIs aligned with industry standards
• Documentation: Use our platform to generate a comprehensive, legally-sound policy that meets all requirements

• Policy Statement: Clear commitment to environmental sustainability and compliance with Singapore's environmental laws
• Scope and Objectives: Specific environmental targets, carbon reduction goals, and resource management plans
• Regulatory Compliance: References to SGX sustainability reporting requirements and Environmental Protection Act
• Implementation Framework: Roles, responsibilities, and accountability measures for policy execution
• Monitoring Mechanisms: KPIs, reporting schedules, and audit procedures aligned with SGX guidelines
• Review Process: Timeline for policy updates and stakeholder engagement procedures
• Authorization: Board approval statement and senior management endorsement

A Sustainability Policy often gets confused with a Corporate Social Responsibility Policy, but they serve different purposes in Singapore's regulatory landscape. While both address organizational responsibilities, their scope and requirements differ significantly.

• Focus and Scope: Sustainability Policies specifically target environmental impact, carbon emissions, and resource management, while CSR Policies cover broader social initiatives, community engagement, and ethical business practices
• Regulatory Requirements: Sustainability Policies directly address SGX sustainability reporting guidelines and Environmental Protection Act compliance, whereas CSR Policies align with voluntary standards and stakeholder expectations
• Implementation Structure: Sustainability Policies require specific environmental metrics, targets, and monitoring systems, while CSR Policies typically outline general principles and social impact objectives
• Reporting Framework: Sustainability Policies must follow strict environmental reporting standards, but CSR Policies have more flexible reporting requirements