Starting in 2026, flights departing from Singapore will be required to use sustainable aviation fuel as part of the country’s efforts to progressively decarbonize airline operations. The initiative is outlined in Singapore’s sustainable air hub blueprint developed by the Civil Aviation Authority of Singapore (CAAS). The move comes with an associated levy on the purchase of sustainable aviation fuel, and passengers can expect ticket prices to rise based on factors such as distance traveled and class of travel.
The initial target is a 1% sustainable aviation fuel uplift in 2026, with the goal of providing a demand signal to fuel producers and encouraging investment in sustainable aviation fuel production facilities. The target is set to increase to between 3% and 5% by 2030, contingent on global developments and the wider availability and adoption of sustainable aviation fuel.
Transport Minister Chee Hong Tat stated that the cost impact of the 1% target is deemed manageable, and stakeholders have been consulted in the decision-making process. The levies introduced to achieve this target could lead to increased ticket prices, with specific amounts depending on factors such as the destination and class of travel. Premium class passengers are expected to face higher levies.
CAAS will continue to engage with stakeholders and plans to announce further details in 2025 closer to the implementation date. The move is aimed at fostering sustainable growth in the aviation industry, balancing economic competitiveness and environmental sustainability.
