Passengers flying out of Singapore will soon help fund the nation’s shift toward greener air travel through a new levy supporting the use of sustainable aviation fuel (SAF), The Straits Times reported.
The Civil Aviation Authority of Singapore (CAAS) announced that the levy — ranging from S$1 (RM3.20) to S$41.60 — will apply to tickets sold from April 1, 2026, for flights departing Singapore from October 2026 onward.
Airlines will be required to display the charge as a separate line item on tickets, with the rate determined by flight distance and travel class. Business and first-class passengers will pay up to four times more than those in economy.
For example, an economy passenger flying to Bangkok will pay an additional S$1, while a flight to New York will cost S$10.40 more. Business-class travellers will pay between S$4 and S$41.60, respectively.
CAAS said the levy is lower than initially projected due to moderating prices of green jet fuel.
The roll-out is designed to give both airlines and passengers time to adapt.
The fee will not apply to transit passengers, training flights, or humanitarian operations.
Singapore plans for SAF to make up 1% of all jet fuel used at Changi and Seletar airports in 2026, with a goal of 3% to 5% by 2030. Despite market fluctuations, Han confirmed that the levy will remain fixed until the next SAF target is revised.
When introduced, the new charge will raise total passenger fees — bringing the total for an economy passenger flying to New York to S$75.60 and for a premium passenger to S$106.80.
Changi Airport’s current S$65.20 passenger service fee is also set to rise gradually to S$79.20 by 2030 to support airport expansion and operational upgrades.
The levy will additionally cover cargo shipments, private jets, and chartered flights, adjusted for aircraft size and distance.
Revenue from the levy will be managed by the Singapore Sustainable Aviation Fuel Company (SAFCo), which will oversee SAF procurement and blending with conventional jet fuel at both Singapore airports.
Under Singapore’s Sustainable Air Hub Blueprint launched in February 2024, the aviation sector aims to cut airport emissions by 20% from 2019 levels by 2030 and achieve net-zero emissions by 2050.
