How has ERM’s service offer evolved in recent years? 
ERM is the largest pure-play sustainability consulting company in the world. We have diversified our service offering considerably, from more traditional EHS consultancy services to a much broader range of sustainability related expertise. For example, we now offer climate change and adaptation strategies, we are building a stronger service offering around renewables, and we expanded our transaction advisory for clients in the financial sector into a more integrated offer, which includes not only ESG but also technical due diligence. Sustainable asset retirement has also become an area of growth for us, not just in Singapore but also in the rest of the region. We take a less conventional approach in managing asset retirement, treating it as an asset and not as a liability, by applying a strategy with repurposing or redevelopment in mind. We recently supported transition of coal-fired power plants into new renewable facilities, allowing the old and new to coexist for some time to allow cost-effective transition.

Could you share the latest recognitions received and why they are important?

This year, ERM has been named one of the ESG and Sustainability consulting leaders within the Green Quadrant, a new research from independent analysis firm Verdantix. Within this benchmark, we achieved the highest overall score for ESG and Sustainability capabilities, as well as ranking first for the following three areas: operational transformation, thanks to our ability to help with decarbonization, water management, circular economy, product stewardship, and supply chain; secondly, we were commended for the breadth and depth of our offerings to various sectors, including chemicals; and thirdly, we came first for our ESG financial advisory services. ERM has also achieved a “Gold” rating from the global assessment platform EcoVadis. At ERM, we believe we must walk the talk and therefore, our commitments to halve our direct emissions, reduce our Scope 3 emissions by 42% by 2030, and reach net-zero by 2040, have also been validated by SBTi (Science Based Targets Initiative). ERM is one of the first consultancy firms to have our targets SBTi-approved.

Have you observed greater mobilization towards decarbonization as a result of the carbon tax and expected incremental increases in the value of the carbon tax in Singapore?

The carbon tax has augmented the pressure that falls onto heavy emitters, including in the chemical sector, to decarbonize. For the industries that can pass on the carbon tax on to the customer, by adding it to the total cost of the product they sell, the impact is less severe; the carbon tax becoming, in a sense, an inflationary item carried down the value chain. However, the industries that do not have the ability to pass on the cost must work internally, potentially changing their business model and repurposing some of their current assets into less-carbon-intensive areas. Sooner or later, everyone will have to join and take part in decarbonization efforts. Currently, companies operating in Singapore are in a transition period before the tax value increases in 2025 and beyond; during this period, they have the chance to acclimatize to the new rules, start thinking about their strategy, and find ways to manage their decarbonization. With each spike in the tax, the pressure will only grow.

How closely do your customers integrate sustainability in their strategy? 

It really varies from client to client. Some clients are driven by regulations like the carbon tax, others pursue greener products to build business resilience, and others are putting sustainability at the center of their branding, especially if they work directly with consumer products. In general, however, we can conclude that sustainability is starting to play a bigger role at the board level, and that trickles down to the operational level.  For instance, circularity in the context of chemicals and pharmaceuticals is now a big focus, especially in Singapore, but the lack of available infrastructure hinders more investment. Singapore has one landfill and the rest of the waste is consigned to incineration, with neither of these two routes considered circular. Some of our clients in the pharmaceuticals space were looking at the recovery of used solvents but having issues in reusing the recovered solvent due to the high standards. Therefore, for a project like a solvent recovery facility to be built in Singapore, it would take a larger market need through the consolidation of multiple players to develop this circular value chain.

Do you have a final message?

At ERM, one of the unique value offerings that we have built is a boots-to-boardroom approach where we combine strategic thinking at the boardroom level with operational day-to-day activities at the asset level. While most consulting firms focus at the either end, we understand planning and implementation as a total and thus enabling us to support the full value cycle. 

From the perspective of a sustainability practitioner and sustainability enthusiast, I would say we are in an era of many changes and uncertainties. Everyone’s journey is unique, and our greatest hope at ERM is that we can help and be part of those unique journeys. ERM’s mission is to shape a more sustainable future, a dream I personally share and hope to be a part of.