Air Passengers from Singapore to Pay Up to S$41.60 for Sustainable Aviation Fuel Levy - PRESS AI WORLD
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Air Passengers from Singapore to Pay Up to S$41.60 for Sustainable Aviation Fuel Levy

share-iconPublished: Tuesday, November 11 share-iconUpdated: Tuesday, November 11 comment-icon3 weeks ago
Air Passengers from Singapore to Pay Up to S$41.60 for Sustainable Aviation Fuel Levy

Credited from: CHANNELNEWSASIA

  • Air travelers from Singapore will pay a sustainable aviation fuel levy ranging from S$1 to S$41.60 per ticket.
  • The levy applies to tickets sold from April 1, 2026, for flights departing on or after October 1, 2026.
  • Funds from the levy are earmarked for the purchase of sustainable aviation fuel to reduce carbon emissions in the aviation sector.
  • Singapore aims to achieve a 3 to 5% adoption rate of sustainable aviation fuel by 2030.
  • This marks Singapore as the first country to impose such a passenger-based green fuel tax.

Airline passengers departing from Singapore will incur a sustainable aviation fuel (SAF) levy ranging from S$1 (US$0.77) for short-haul flights to S$41.60 (US$31.95) for long-haul journeys, depending on their class of travel and destination. This levy will be applied to tickets sold from April 1, 2026, for flights departing on or after October 1, 2026, as announced by the Civil Aviation Authority of Singapore (CAAS) on November 10, 2023. Notably, passengers transiting through Singapore will be exempt from the levy, according to Channel News Asia and South China Morning Post.

The levy structure is categorized by geographical bands; for instance, passengers flying to Southeast Asia will pay S$1 for economy class and S$2.80 for premium economy, while those heading to destinations in the Americas will incur S$10.40 in the economy cabin and S$41.60 in premium classes. The funds raised from this levy will support the central procurement of sustainable aviation fuel, aiming to accelerate Singapore's efforts to reduce aviation emissions, according to India Times and South China Morning Post.

This initiative marks a significant milestone for Singapore, positioning it as the first country globally to introduce a passenger-based green tax aimed at improving sustainability in air travel. With Changi Airport expected to exceed its pre-pandemic traffic of 68.3 million, the levy represents a crucial step in meeting international climate goals while also addressing the aviation sector's environmental impact. This development also coincides with discussions at the COP30 climate summit, highlighting the urgency of implementing sustainable practices globally, according to Channel News Asia and India Times.

The sustainability efforts in Singapore come amidst significant challenges facing the aviation industry, which contributes only approximately 1.2% of global greenhouse gas emissions. However, the transition to sustainable aviation fuel remains challenged by limited supply and high production costs, with SAF production accounting for only 0.3% of global jet fuel last year. With a target of enhancing SAF adoption to between 3% to 5% by 2030, Singapore aims to pave the way for more sustainable air travel, according to South China Morning Post and India Times.

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