Singapore's Transport Minister Chee Hong Tat today announced the launch of the Singapore Sustainable Air Hub Plan, outlining a series of key actions aimed at decarbonising Singapore's aviation sector, including new rules that all flights departure points are required to use sustainable aviation fuel (SAF). , starting at 1% from 2026, and expected to increase in the following years.
The plan was developed by the Civil Aviation Authority of Singapore (CAAS) under Singapore's Ministry of Transport and covers actions aimed at airlines, airports and air traffic management (ATM) in order to achieve targets including a 20% reduction of domestic aviation emissions from airport operations by 2030, and achieving net zero emissions from national and international aviation by 2050.
Fuel is responsible for the vast majority of emissions in the aviation sector. Generally produced from sustainable resources such as used oils and agricultural waste, SAF is seen as one of the key tools to help decarbonize the aviation industry in the short to medium term. SAF producers estimate that the fuels can result in life-cycle GHG emissions reductions of up to 85% relative to conventional fuels.
However, efforts to significantly increase the use of SAF by airlines face significant challenges, including the low supply currently available on the market and prices much higher than conventional fossil fuels. Currently, SAF represents less than 0.1% of aviation fuel volumes.
According to CAAS, the use of SAF is expected to contribute almost two-thirds of the emissions reductions needed for the sector to reach net zero by 2050. Under the new plan, flights departing Singapore from 2026 will be required to use SAF, with an initial target of 1% envisaged, and a target to increase this to 3% – 5% by 2030, subject to global developments and greater availability and adoption of SAF.
The plan also includes several initiatives aimed at building a SAF ecosystem, including the introduction by CAAS of a SAF fee, based on the SAF target and the projected SAF price at that time, which will be used to purchase SAF. The fee charged will take into account the distance traveled and the class of travel. According to a CAAS estimate, the fee to support a 1% SAF level could increase the price of an economy class ticket from Singapore to Tokyo by S$6 (USD$4.50) and to London by S$16 (USD $12). Other initiatives include centralizing SAF procurement to the Singapore air hub, anchoring SAF production in Singapore and the region, and investing in air fleet renewal and operational improvements.
In addition to SAF initiatives, the plan outlines actions for airports, primarily aimed at reducing energy use and deploying renewable energy, as well as initiatives to improve ATM operations in order to increase efficiency and reduce fuel consumption in the coming years. five years, including the implementation of demand-capacity balancing, performance-based navigation improvements and gate-to-gate trajectory optimization. According to CAAS, ATM initiatives are expected to result in 10% additional fuel consumption and reduced emissions.
CAAS also outlined a range of enablers that will be introduced to implement its new decarbonization initiatives, covering policy and regulation, industry development, infrastructure planning and delivery, workforce transformation, and international partnerships and collaborations, and including the launch of a S$50 million (USD US$37 million) Aviation Sustainability Program to support sustainable aviation projects.
Minister of Transport and Second Minister of Finance Chee Hong Tat said:
“Singapore’s approach is to enable the aviation sector to achieve both growth and environmental sustainability, so that future generations can continue to enjoy the benefits of flying. The Singapore Sustainable Air Hub Plan demonstrates this balanced approach. The measures were developed after careful study and close consultation with national and international stakeholders, and we hope they will help catalyze the development of sustainable aviation in the region and around the world.”
