PUBLISHED ONJune 16, 2026 7:14 AMBYSean LerSingapore will commit nearly $100 million towards the research and development of urban and industrial water solutions as the country's water challenges evolve, announced Deputy Prime Minister Gan Kim Yong on Tuesday (June 16).
DPM Gan shared this at the opening of the 11th edition of the Singapore International Water Week, where he also announced a new water treatment research facility to be developed in 2027 and the completion of Tengah Service Reservoir — expected to serve about 42,000 households and the upcoming Tengah industrial precinct.
Pointing to the global water situation, in which a United Nations report warned that the world is entering an era of "global water bankruptcy", DPM Gan reiterated that water challenges are not theoretical for Singapore.
He noted that as a small island city-state with limited natural water resources, climate change will bring more dry and wet extremes, while in the longer term, nearly a third of Singapore could be at risk of coastal flooding as sea levels rise, if nothing is done.
Meanwhile, Singapore will need more water — about two-thirds of future water demand by 2065 — as some of its fast-growing sectors such as semiconductor and data centres are water intensive.
"So we must act with urgency. But we must also plan with foresight," DPM Gan said, stressing that water security requires long-term investment, innovation and international cooperation.
Apart from building a diversified and resilient water supply system, such as investing for the long-term in water infrastructure like the Tengah Service Reservoir, Singapore must continue to innovate in its water journey.
Referring to solutions such as NEWater, desalination, used water treatment and intelligent water management systems, DPM Gan noted that these were developed through sustained research, close partnerships, and a willingness to test, deploy and improve solutions in real-world conditions.
But better industrial water solutions will be needed as high-value sectors such as wafer fabs and data centres expand, he said.
"We must find ways to grow our economy while using water more efficiently and sustainably."
Under the Research, Innovation and Enterprise (RIE) 2030 plan, national water agency PUB will receive an initial $12 million in funding to further the research and development of industrial water solutions.
Specifically, the funds will be used for the development of "novel and innovative solutions" to bolster water efficiency and facilitate water recycling in two water-intensive sectors — wafer fabrication and data centres.
The agency will also receive an initial tranche of $85 million to develop innovative municipal water solutions, including a new energy-positive used water treatment research facility.
In a media statement on Tuesday, PUB said this funding will enhance its ability to advance research and development in key areas such as water treatment, desalination, and managing contaminants of emerging concern.
It said these will strengthen Singapore's water security and sustainability.
"Our aim is not only to meet Singapore's own needs. We also want to develop solutions that can be applied in cities and industries around the world.
"If we can help industrial users reduce, reuse and recycle water more effectively, this will support both economic growth and environmental sustainability," DPM Gan explained.
@asiaone Investment and innovation were among three focus areas put forth by DPM Gan Kim Yong at the 11th Singapore International Water Week on Tuesday (June 16), as he set out how Singapore intends to handle the existential challenge of water security. #sgnews #Singapore #Water ♬ original sound - AsiaOne
He also urged governments, cities, international organisations, businesses, researchers and investors to share ideas and build partnerships spanning across borders.
"This is important because many cities face similar risks. Around the world, coastal populations are exposed to more intense storms, rising sea levels, and greater flood risks. We can move faster and further if we learn from one another," the deputy prime minister said.
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