Singapore Leads The Way In Sustainable Aviation With Revolutionary Green Fuel Levy To Be Imposed On Passengers Starting 2026, Ranging From SGD 1 To SGD 41.60

Published on November 29, 2025

Singapore is the first in the world to implement green fuel levies on air travel. With the new policy, travelers will pay an extra fee which will be determined based on the distance, starting with SGD 1 and going as high as SGD 41.60 for high travel classes. The charge will be used to purchase and promote the use of Sustainable Aviation Fuel (SAF). The policy will be in effect by 2026. The goal is to connect the cost of flight travel and the pollution generated. With this, the authorities hope to promote responsibility and flight travel cost related to pollution.

In a significant step toward environmental sustainability, Singapore has announced the introduction of a green aviation fuel levy, which will come into effect from 2026. This move, set to be applied to air tickets sold from April 1, 2026, for flights departing Singapore from October 1, 2026, marks a major initiative by the Civil Aviation Authority of Singapore (CAAS) to reduce the aviation sector’s carbon footprint.

Details of the Green Aviation Fuel Levy

The levy aims to promote the adoption of sustainable aviation fuel (SAF), contributing to Singapore’s goal of achieving a 3% to 5% SAF adoption rate by 2030. To facilitate this transition, passengers will be charged according to the travel class and the distance they are flying. The levy will be added to the cost of air tickets, with charges varying for different regions and classes of service.

For flights within Southeast Asia, economy and premium economy passengers will pay SGD 1 (approximately HKD 5.97), while those flying to Northeast Asia, South Asia, Australia, and Papua New Guinea will be charged SGD 2.80 (HKD 16.72) in economy class, and SGD 11.20 (HKD 66.86) in premium cabins.

European and Long-Haul Destinations

Passengers traveling to Europe, the Middle East, the Pacific Islands, and New Zealand in economy class will incur a charge of SGD 2.80 (HKD 16.72), while those in premium cabins will pay SGD 25.60 (HKD 152.82). For flights to the Americas, the levy increases to SGD 10.40 (HKD 62.08) for economy passengers and reaches a maximum of SGD 41.60 (HKD 248.34) for premium cabin passengers.

The levy is not applicable for passengers who are merely transiting through Singapore, allowing travelers with layovers to avoid any extra charges. Additionally, for passengers traveling on multi-stop flights, the levy will be calculated based on the immediate next destination after departing Singapore, ensuring fair and precise charges.

Purpose Behind the Levy

The introduction of the green aviation fuel levy aligns with Singapore’s vision of becoming a leader in sustainable aviation. As the aviation industry is responsible for a significant portion of global greenhouse gas emissions, the move to incorporate SAF and establish a fuel levy is seen as a necessary step to address environmental concerns while supporting the aviation sector’s long-term sustainability goals.

The funds collected through the levy will be used to support the centralised purchase of SAF, helping airlines transition to greener alternatives without incurring significant financial burden. With global pressure on industries to cut carbon emissions, Singapore’s initiative serves as an example for other nations and the aviation industry as a whole to prioritize sustainability in their operations.

Aviation Industry’s Shift Toward Sustainability

While the aviation sector has traditionally been a high-emission industry, there has been increasing momentum toward reducing its environmental impact. Airlines globally are exploring ways to integrate sustainable fuels into their fleets, with many already committed to reducing their carbon emissions over the coming decades.

The green aviation fuel levy in Singapore is a part of a larger trend in which governments and aviation authorities are encouraging airlines to embrace SAF. As SAF has the potential to significantly reduce carbon emissions compared to conventional jet fuel, its widespread adoption is crucial in achieving global climate goals.

Singapore’s commitment to sustainability in aviation comes at a time when many countries are rethinking how their transportation systems can become more environmentally friendly. The green fuel levy, alongside other sustainability initiatives, is likely to be an important element of the country’s broader strategy for reducing its carbon footprint and meeting international environmental targets.

Impact on Air Travelers

For travelers, the introduction of the green fuel levy may initially seem like an additional cost. However, the benefits are far-reaching. Passengers who opt for more eco-conscious travel can feel assured that their contributions are part of a larger effort to support cleaner aviation practices. As the industry moves toward greater reliance on sustainable fuel sources, travelers can look forward to a future where air travel is more aligned with global environmental goals.

The green aviation fuel levy is a crucial step in the ongoing transformation of the aviation industry, as stakeholders—from governments and airlines to passengers—work together to make air travel more sustainable. By directly linking the costs of flying with the environmental impact of each journey, Singapore’s innovative approach paves the way for a greener future in aviation.

Singapore is leading sustainable aviation with a revolutionary green fuel levy starting in 2026, ranging from SGD 1 to SGD 41.60, to reduce emissions and promote sustainable aviation fuel (SAF) adoption. This initiative sets a new standard for eco-friendly air travel.

The green aviation fuel levy introduced by Singapore is a bold move toward reducing the aviation industry’s carbon emissions and supporting the adoption of sustainable aviation fuel. While the levy will add a small charge to air tickets, it will ultimately play a significant role in transforming air travel into a more sustainable and environmentally responsible mode of transportation. This initiative marks a milestone in Singapore’s efforts to lead the world in sustainable aviation practices, setting an example for other nations to follow as they work toward a more sustainable future for the global aviation sector.