Sustainable aviation fuel

Can Singapore aviation go green without losing ground?

From 2026, flyers will pay more for greener fuel. Host Derryn Wong and aviation expert Terence Fan break down what this means for Singapore’s position as a global air hub.

The deal signing, held at Temasek Shophouse on Nov 11, was also attended by Temasek's former chief executive Ho Ching (far left).

Singapore’s Pulau Bukom to house new sustainable aviation fuel plant by Aster, Aether Fuels

The move comes amid a deal spree by Aster, a joint venture between Indonesia’s Chandra Asri and commodities trader Glencore

First announced in 2024, the levy is part of the Singapore Sustainable Air Hub Blueprint for how to reach net-zero aviation emissions by 2050.

Economy passengers to be charged S$1 to S$10.40 sustainable fuel levy from Oct 2026

Levy for business and first-class flights originating in Singapore ranges from S$4 to S$41.60; cargo levy from S$0.01 to S$0.15 per kg

From 2026, all flights departing from Singapore must use at least 1% sustainable aviation fuel.
THE BROAD VIEW

Singapore’s green fuel levy: A step forward but harder work awaits

To make low-carbon fuels a lasting part of the energy mix, the country must now focus on building up the supply side

SAFCo will be a non-profit company wholly owned by CAAS.

Singapore sets up world’s first non-profit to centralise purchase of sustainable aviation fuel

SAFCo will procure, manage and allocate the fuel at Changi Airport and Seletar Airport

Almost all of Seatrium’s non-oil and gas order book as at end-June 2025 is in offshore wind.
ESG INSIGHTS

Issue 167: Seatrium tosses in offshore turbulence; Singapore greenlights novel green jet fuel model

This week in ESG: Cancelled job rocks Seatrium offshore wind business; Singapore adopts fixed-cost envelope approach to adopt sustainable aviation fuel

Sustainable jet fuel mandates have the downside of bringing price uncertainty to the aviation industry, Senior Minister of State for Transport Sun Xueling says.

Singapore’s sustainable jet fuel law ensures cost certainty, unlike mandates or incentives: MOT

The approach avoids price fluctuations, says Senior Minister of State for Transport Sun Xueling

The target is for sustainable aviation fuel to comprise 1% of all the fuel used at Changi and Seletar airports in 2026.

Singapore tables Bill for sustainable aviation fuel levy, fund and central procurement

This facilitates the implementation of previously announced sustainable aviation fuel policies

The government, under a 2023 national energy transition roadmap, is targeting a 47% SAF blending mandate by 2050.

Petronas delivers first local sustainable aviation fuel to Malaysia Airlines

The announcement comes as the country looks to build domestic production, blending, and supply of SAF

Neste CEO and president Heikki Malinen says Singapore's approach could be a guiding light for the region to follow.

Governments need longer-term mandates for green jet fuel to guide production: Neste CEO 

Singapore’s ‘transparent and efficient’ approach is key to boosting such efforts in the Asia-Pacific, says head of green-fuel producer