Bernama: Passengers flying out of Singapore from October 1, 2026, will have to pay a Sustainable Aviation Fuel (SAF) levy ranging between SGD 1 and SGD 41.60, the Civil Aviation Authority of Singapore (CAAS) announced, reports Borneo Bulletin.
According to CAAS, the levy will apply to tickets sold from April 1, 2026. It will be charged per passenger and vary based on the distance travelled and the class of travel, divided into four geographical bands.
The authority said the amount of the levy was decided based on the quantity of SAF needed to meet Singapore’s one per cent SAF target for 2026 and the additional costs of using SAF compared with regular jet fuel. These costs include certification, blending, and delivery.
Levy Rates for Passengers and Cargo
Travellers flying to Southeast Asian destinations under Band I will pay SGD 1 if they are in the economy cabin (Economy or Premium Economy Class) and SGD 4 if they are in the premium cabin (Business or First Class).
CAAS said the levy will be collected by airlines and will not apply to passengers who are only transiting through Singapore. For flights with several stops, the charge will be based on the next destination after leaving Singapore.
The levy will also apply to cargo shipments. It will be charged per kilogram and vary depending on the distance travelled, using the same four geographical bands. The rate starts at SGD 0.01 per kg for Southeast Asia (Band I) and goes up to SGD 0.15 per kg for the Americas (Band IV).
For general and business aviation, the levy will be charged per aircraft, depending on flight distance and aircraft size, based on International Civil Aviation Organisation (ICAO) categories A to F. The charge will range from SGD 40 to SGD 6,500.
Flights such as training operations and those for charitable or humanitarian purposes will not have to pay the levy.
Part of Singapore’s Push for Greener Aviation
CAAS director-general Han Kok Juan said the new levy represents an important step in Singapore’s efforts to make its aviation sector more sustainable.
“It provides a way for everyone in the aviation community to play their part in supporting sustainability at a reasonable cost. This is a necessary first move, and we are introducing it carefully, giving airlines, businesses, and the public time to adapt,” he said.
The money collected from the levy will go into a statutory SAF Fund managed by CAAS. The fund will be used only for buying sustainable aviation fuel and related environmental attributes, as well as to cover administrative costs.
