# Singapore lets unused 2025 carbon-credit quota roll into 2026, scaled by 25/45

_Published 2026-11-12 · Event 2026-08-19 · Credits and projects · Singapore · https://asiacarbondesk.com/news/20261112-sg-icc-rollover/_

Taxable facilities in Singapore may carry unused 2025 international carbon credit quota into emissions year 2026.
The carried amount is multiplied by 25/45, the ratio of the 2025 and 2026 tax rates, so 4,000 unused credits become 2,222.
Quota already carried from 2024 into 2025 expires and cannot move forward again.

## What happened

The National Environment Agency (NEA) sets out the roll-over rule on its carbon tax page, last updated on 19 August 2026. Facilities that do not use their full allowance of international carbon credits (ICCs) for emissions year 2025 can add the unused part to their 2026 allowance.
Because the tax rose from S$25 to S$45 per tonne at the start of 2026, NEA applies a credit conversion factor of 25/45. The formula is (A minus B) times 25/45, rounded down, where A is the 2025 limit and B is the number of ICCs actually surrendered for 2025.
NEA gives a worked example. A facility emitting 100,000 tonnes a year may use up to 5,000 ICCs. If it uses 1,000 for 2025, the remaining 4,000 convert to 2,222 for 2026, giving a 2026 ceiling of 7,222 credits (our calculation: 5,000 plus 2,222; NEA does not state the total). The page also states that quota carried from 2024 into 2025 lapses.
NEA links the measure to slow credit supply. It notes that 11 Implementation Agreements had been signed when the page was updated, that application calls were open in Bhutan, Ghana, Peru, Rwanda and Thailand, and that projects can take up to four years to produce credits.

## Background

The ICC framework started on 1 January 2024, when the tax rose to S$25. From that date taxable facilities could offset up to 5% of taxable emissions with eligible credits. Credits must come from reductions or removals from 2021 to 2030 inclusive, and only from countries that have an Implementation Agreement with Singapore.
An earlier roll-over let facilities move unused 2024 quota, up to 5% of 2024 taxable emissions, into 2025. That carried quota now expires. The tax began at S$5 per tonne in 2019; the 2026 rise is the first since offsets were allowed in 2024. Scaling by 25/45 keeps the tax value of a carried quota roughly the same: 4,000 credits at S$25 and 2,222 credits at S$45 each cover about S$100,000 of tax.
Supply under the agreements is still thin. Singapore's Carbon Markets Cooperation site lists 12 countries with which Singapore has substantively concluded negotiations or signed Implementation Agreements, nine of them in force (page updated 5 November 2026), while its project register showed no registered projects as of 2 November 2026.

## Offset limits in Asian compliance schemes

| Scheme | Offset limit | Eligible units |
|---|---|---|
| Singapore carbon tax | Up to 5% of taxable emissions | ICCs from Implementation Agreement host countries |
| Japan GX-ETS | 10% of each year's emissions | J-Credits and JCM credits |
| Korea K-ETS | Up to 10% of a company's surrender obligation (legal ceiling) | Domestic offset credits |
| China national ETS | Up to 5% of allowances due | CCER |

Korea's exact limit for each period is set in its allocation plan.

## What is next

- No further dates are set in the official texts we checked.

## Sources

- [Carbon Tax (Roll over of Unutilised ICC Offset Limit for Emissions Year 2025)](https://www.nea.gov.sg/our-services/climate-change-energy-efficiency/climate-change/carbon-tax) (National Environment Agency, checked 2026-11-12)
- [FAQ - General Information](https://www.carbonmarkets-cooperation.gov.sg/frequently-asked-questions/general-information/) (Singapore's Carbon Markets Cooperation, checked 2026-11-12)
- [Eligibility Criteria](https://www.carbonmarkets-cooperation.gov.sg/environmental-integrity/eligibility-criteria/) (Singapore's Carbon Markets Cooperation, checked 2026-11-12)
- [Overall Project Register](https://www.carbonmarkets-cooperation.gov.sg/project-register/) (Singapore's Carbon Markets Cooperation, checked 2026-11-12)
- [Singapore's Article 6 Cooperation](https://www.carbonmarkets-cooperation.gov.sg/our-art6-cooperation/) (Singapore's Carbon Markets Cooperation, checked 2026-11-12)
- [ETS Subcommittee Interim Report](https://www.meti.go.jp/shingikai/sankoshin/sangyo_gijutsu/emissions_trading/pdf/006_06_00.pdf) (Ministry of Economy, Trade and Industry (Japan), checked 2026-11-12)
- [Enforcement Decree of the Act on the Allocation and Trading of Greenhouse Gas Emission Permits](https://www.law.go.kr/법령/온실가스배출권의할당및거래에관한법률시행령) (Korea Ministry of Government Legislation, checked 2026-11-12)
- [Measures for the Administration of Carbon Emissions Trading (MEE Order No. 19)](https://www.mee.gov.cn/gzk/gz/202112/P020211213372253773271.pdf) (Ministry of Ecology and Environment (China), checked 2026-11-12)

Data book: https://asiacarbondesk.com/singapore-carbon-tax/, https://asiacarbondesk.com/japan-gx-ets/, https://asiacarbondesk.com/korea-k-ets/, https://asiacarbondesk.com/china-national-ets/