Passengers to Pay SAF Levy for Flights from Singapore Changi

(Biofuels International) Airline passengers departing from Singapore will have to pay a sustainable aviation fuel levy ranging from S$1 (€0.66) to S$41.60 (€27.60) per ticket, depending on their travel destination and travel class.

The levy will apply to tickets sold from Apr 1, 2026, for flights departing from Singapore on or after Oct 1, 2026, the Civil Aviation Authority of Singapore (CAAS) said in a statement.

This means that if a ticket is bought before April 1 for a flight departing after October 1, the levy will not apply. Likewise, if a ticket is bought after April 1 for a flight before October 1, there will be no levy.

All destinations from Singapore will be grouped into four geographical bands:

Passengers travelling to Band 1 destinations will pay S$1 (€0.66) if travelling in an economy cabin, which includes economy class and premium economy, and S$4 (€2.65) for a premium cabin, which includes business class and first class.

Band 2 passengers will pay S$2.80 (€1.86) and S$11.20 (€7.43) for an economy cabin and a premium cabin, respectively.

Band 3 passengers will pay S$6.40 (€4.25) and S$25.60 (€17), and Band 4 passengers will pay S$10.40 (€6.90) and S$41.60 (€27.60) for an economy cabin and premium cabin respectively.

The levy will not apply to passengers transiting through Singapore. For flights with multiple stops, the levy will be based on the immediate next destination after departing Singapore.

The announcement of the levy amounts comes after CAAS said last month that it had set up a new entity to centrally procure sustainable aviation fuel and secure a more affordable and stable supply for Singapore and the region. READ MORE

Meanwhile, Singapore has released details of its SAF levy for airline and private flight passengers and cargo shipments departing Singapore from 1 October next year, with charges applying on flights booked from 1 April. The levies have been designed to support Singapore’s initial SAF blending target of 1%, to be introduced next year.

Charges will be based on geographical bands, segregated into Economy Cabin and Premium Cabin categories for scheduled airline flights, by kilogram weight on cargo flights and by aircraft size on private flights. The fees will apply for passenger or freight flights from Singapore to the next point of arrival, but not to subsequent sectors or for passengers transiting Singapore. Levies will be collected by airlines as part of the ticket price or freight fee, and proceeds held in a Statutory SAF Fund managed by the Civil Aviation Authority of Singapore (CAAS).

“The introduction of the SAF levy marks a major step forward in Singapore’s efforts to build a more sustainable and competitive air hub,” said Han Kok Juan, Director General of CAAS.

“It provides a mechanism for all aviation users to do their part to contribute to sustainability at a cost which is manageable for the air hub. We need to make a start. We have done so in a measured way and we are giving industry, businesses and the public time to adjust.”

The SAF levy amounts have been calculated by CAAS based on the volume of the fuel needed to meet Singapore’s initial 1% uplift target in 2026, and the projected price premium of SAF over fossil-based jet fuel and linked costs including certification, blending and delivery.

They must be collected by airlines and included as line items on passengers’ tickets or air cargo contracts and apply for all passengers or freight departing Singapore, excluding transit passengers. Training flights and those deployed for charitable or humanitarian purposes will be exempt.

Charges are grouped into four geographical bands and based on distance travelled.

Band 1 will apply for flights from Singapore to destinations within Southeast Asia, Band 2 to Northeast Asia, South Asia, Australia and Papua New Guinea, Band 3 to Africa, Central and West Asia, Europe, Middle East, Pacific Islands and New Zealand, and Band 4 to the Americas.

The SAF levy for passengers on scheduled flights is charged per person in either an Economy Cabin, which includes Economy and Premium Economy classes, or a Premium Cabin, which covers Business and First Class, and the Premium levy is four times that of Economy.

For Band 1 passengers, the SAF levy per Economy passenger is S$1.00 ($0.77) and S$4.00 ($3.07) for Premium.

In Band 2, the Economy levy is S$2.80 ($2.15) per passenger and S$11.20 ($8.60) for Premium travellers.

Band 3 passengers will be charged S$6.40 ($4.92) for Economy travel and S$25.60 ($19.66) for Premium.

And for Band 4, the Economy levy is S$10.40 ($7.99) per passenger, while Premium travellers will pay S$41.60 ($31.95).

For freight carried in Band 1, the SAF levy is S$0.01 per kilogram, Band 2 is S$0.04, Band 3 is S$0.09, and Band 4 is S$0.15.

General and private aviation flights are more complex, with six categories, and levies charged per aircraft and distance travelled within each geographical band. Aircraft types are categorised by their wingspan, based on codes A to F, stipulated by ICAO.

These range from a Code A aircraft such as a Cessna Titan, to a Code F Airbus A380 or Boeing 747-8.

Funds collected and managed by CAAS will be used only for the purchase of SAF or SAF environmental attributes, as well as administration costs, and the newly-established Singapore Sustainable Aviation Fuel Company (SAFCo) will manage procurement, allocation and administration of both the fuel and SAF attributes, the latter a value representing the difference between lifecycle CO2 emissions of SAF and those of the same quantity of conventional jet fuel. READ MORE