<figure id="attachment_2989418" aria-describedby="caption-attachment-2989418" style="width: 1600px" class="wp-caption alignnone"><img loading="lazy" class="size-full wp-image-2989418" src="https://media.freemalaysiatoday.com/wp-content/uploads/2025/02/686993f6-changi-airport_1600x1000.webp" alt="" width="1600" height="1000" /><figcaption id="caption-attachment-2989418" class="wp-caption-text">Singapore has set a target to raise the share of green fuel usage to 1% at its Changi and Seletar Airports by next year. (Changi Airport pic)</figcaption></figure>
SINGAPORE: Singapore will procure sustainable aviation fuel (SAF) through a new company set up by the government, the Civil Aviation Authority of Singapore announced on Thursday, part of its efforts to reduce the costs of cutting flight emissions.
Singapore has set a target to raise the share of green fuel usage to 1% at its Changi and Seletar Airports by next year, funding it through a levy that will be imposed on all passengers and cargo flying out of the country.
It aims to raise the share of SAF to 3-5% by 2030, subject to global developments and the wider availability and adoption of the fuel.
The new state company, known as SAFCo, will be responsible for collecting the green fuel levy and will use the proceeds to set up a fund to purchase the SAF and distribute it to passenger and cargo flights.
SAF suppliers will be invited to participate in a tender to offer their products at a fixed price, said Han Kok Juan, the director-general of Singapore&#8217;s civil aviation authority.
Han, who is also the company&#8217;s chairman, said SAFCo has already engaged with multinational corporations and received &#8220;tremendous interest&#8221;, adding that a large purchaser in Singapore would be able to secure economies of scale.
The authority previously estimated that additional green fuel levies of S$3 to S$16 could be imposed on economy class passengers, depending on the distance of the flights flown.
The EU began requiring airlines to use more green jet fuel this year, starting with a 2% minimum blending mandate, which is set to rise to 6% by 2030.
However, airlines in other markets have been obliged to purchase their own SAF, prompting the International Air Transport Association to accuse sellers of price gouging.
SAF typically costs three to five times more than regular jet fuel. ​

MatchPoint Times

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