The levy will apply to tickets and air services sold from October 1, 2026. Airlines will be required to show it as a separate line item in the fare breakdown, alongside existing taxes and charges.
The charge will depend on the destination and cabin class. Economy and premium economy passengers will pay between S$1 and S$10.40 (about US$0.78-$8.15) each way, while business and first-class travelers will pay four times those amounts.
For a direct flight from Singapore, the economy-class levy will be S$1 (US$0.78) to Southeast Asia, S$2.80 (US$2.19) to Northeast and South Asia or Australia, S$6.40 (US$5.01) to Europe, and S$10.40 (US$8.15) to the Americas.
Premium-cabin charges range from S$4 (US$3.13) to S$41.60 (US$32.55).
The levy applies to passengers beginning their journey in Singapore. Travelers simply connecting through the city are excluded.
Singapore has set a 1% SAF uplift target for 2027, with plans to increase the share to between 3% and 5% by 2030, depending on global market conditions and SAF availability. Sustainable aviation fuel can reduce lifecycle carbon emissions by up to 80% compared with conventional jet fuel.
The funds will be placed into a statutory SAF Fund and used to purchase SAF and related environmental attributes, as well as cover administrative costs.
The Singapore Sustainable Aviation Fuel Company Ltd. (SAFCo), a nonprofit company wholly owned by the Civil Aviation Authority of Singapore (CAAS), will collect the levy. It will also oversee SAF procurement, accounting and allocation of the associated environmental attributes.
CAAS said SAFCo completed its first voluntary procurement trial in August involving nine companies, including Singapore Airlines and Scoot. The organization plans to launch a formal SAF procurement tender by the end of 2026, with the first SAF expected to be delivered and uplifted in mid-2027.
Tags: Singapore Sustainable Aviation Fuel Company Ltd. (SAFCo) CAAS