National Environment Agency (Amendment) Bill
Ministry of FinanceBill Summary
Purpose: To expand the National Environment Agency’s (NEA) borrowing powers by allowing it to raise loans from capital markets and other sources outside of the Government and financial institutions.
Responses: Senior Minister of State for the Environment and Water Resources Dr Amy Khor Lean Suan stated that the amendment provides NEA with greater flexibility and aligns its borrowing powers with other statutory boards to optimize future financing costs.
Members Involved
Transcripts
First Reading (6 January 2020)
"to amend the National Environment Agency Act (Chapter 195 of the 2003 Revised Edition)",
presented by the Senior Minister of State for the Environment and Water Resources (Dr Amy Khor Lean Suan) on behalf of the Minister for the Environment and Water Resources; read the First time; to be read a Second time on the next available Sitting of Parliament, and to be printed.
Second Reading (3 February 2020)
Order for Second Reading read.
5.05 pm
The Senior Minister of State for the Environment and Water Resources (Dr Amy Khor Lean Suan) (for the Minister for the Environment and Water Resources): Mr Deputy Speaker, on behalf of the Minister for the Environment and Water Resources, I beg to move, "That the Bill be now read a Second time".
The Bill seeks to amend the National Environment Agency, or NEA, Act to expand NEA's borrowing powers.
The current provisions in the NEA Act limit NEA's borrowing sources to either the Government, or, with the approval of the Minister for Finance, banks or other financial institutions. Hence, NEA is currently not able to, for example, borrow directly from the capital markets.
This amendment will provide NEA with greater flexibility in borrowing by widening the options of funding sources, thereby optimising financing costs. This is in line with the borrowing powers of other Statutory Boards such as the PUB, the Singapore Food Agency, JTC Corporation, and the Housing and Development Board.
Mr Deputy Speaker, Sir, I will now like to highlight the key provisions of the Bill.
Section 23 of the NEA Act sets out the power for NEA to borrow. Clause 2 of the Bill will repeal and re-enact section 23 of the NEA Act to allow NEA to (a) raise loans from the Government; (b) raise loans from another source within or outside Singapore, with the approval of the Minister for Finance; and (c) make financial agreements under which credit facilities are granted to the agency for the purchase of goods, materials, or things.
To conclude, Sir, this Bill will align the borrowing powers of NEA with those of other Statutory Boards in Singapore, to widen the options of funding sources and provide greater flexibility in borrowing. This will ensure that NEA is able to optimise the financing costs of any future borrowing. Mr Deputy Speaker, I beg to move.
Question put, and agreed to.
Bill accordingly read a Second time and committed to a Committee of the whole House.
The House immediately resolved itself into a Committee on the Bill. – [Dr Amy Khor Lean Suan].
Bill considered in Committee; reported without amendment; read a Third time and passed.