SINGAPORE Law and Practice Contributed by: Joseph Chun, Shook Lin & Bok LLP
17.2 Disclosure of Environmental Information In Singapore, there is no statutory or general duty for a seller to disclose any environmental information to a purchaser. 17.3 Key Issues in Environmental Due Diligence In the context of a transaction in Singapore, the most common environmental legal issues include: • ensuring the required approvals/permits have been secured and conditions are complied with; • whether there are potential impediments to the transfer of approvals/permits to a purchaser or to the purchaser obtaining fresh approvals/permits; and • apportionment of legal (statutory, tortious, contrac- tual) liability for environmental pollution, particularly land contamination.
ronmental objective with a relevant TSC is climate change mitigation; and • not cause significant harm to other environmental objectives set out in the Taxonomy. Issuers and borrowers must also perform due dili- gence to identify, prevent, mitigate, and address the actual and potential adverse impacts related to human rights, workers, the environment, bribery, and con- sumers. This due diligence should cover their own operations, their supply chain, and other business relationships. The use of the Taxonomy to guide green finance is currently not mandatory. 17. Transactions 17.1 Environmental Due Diligence Environmental due diligence is typically performed in M&A transactions. Environmental due diligence that a purchaser of shares/assets may want to conduct includes: • whether all relevant environmental approvals/ permits have been obtained and are valid and still current, and whether there is no breach of the con- ditions of approvals/permits; • whether all discharges/emissions are within pre- scribed limits; • whether all statutory reporting obligations have been met; and • whether there is any pending environmental litiga- tion, investigations, prosecutions, or appeals. Risk of land contamination based on present and past usage, and if so, legal liability for remediation.
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