From 2026, Singapore flyers to pay extra for cleaner, greener air travel
The new levy will appear as a separate line item on tickets for full transparency and will apply to flights departing from Singapore.
- Nov 12, 2025,
- Updated Nov 12, 2025 4:48 PM IST
Air travellers flying out of Singapore will soon pay a small additional charge on their tickets as part of the country’s push towards greener skies. The Civil Aviation Authority of Singapore (CAAS) has announced a “green fuel levy” to fund the use of sustainable aviation fuel (SAF) — a cleaner, low-carbon alternative to traditional jet fuel. The move makes Singapore the first country to formally build environmental accountability into flight pricing.
The new levy will appear as a separate line item on tickets for full transparency and will apply to flights departing from Singapore. It is designed to help cover the higher cost of SAF, which can cut emissions by up to 80% over its lifecycle compared to conventional jet fuel. However, the fuel remains significantly more expensive to produce and scale, making cost-sharing necessary to support its adoption.
Under the new system, passengers will pay a fixed amount based on flight distance and class of travel. Those in economy or premium economy will pay between S$1 (around ₹68) for short regional flights and S$10.40 (around ₹700) for long-haul routes to destinations such as the Americas. Travellers in business or first class will pay between S$4 (around ₹270) and S$41.60 (around ₹2,800). Cargo operators will contribute between S$0.01 and S$0.15 per kilogram (₹0.68–₹10/kg), depending on distance.
“The Green Fuel Levy ensures that those who benefit from air travel also contribute fairly to the effort of decarbonising aviation,” the CAAS said in a statement.
The levy will apply to tickets issued from April 1, 2026, and take effect from October 2026. Passengers who book before April 2026 will not be charged, even if their flight takes place later. The charge applies only to departures from Singapore, meaning transit passengers merely passing through Changi Airport will not have to pay it.
Singapore’s aviation authority said the scheme will directly support its goal for sustainable aviation fuel to account for 1% of total jet fuel use by 2026, with plans to raise that share to 3–5% by 2030, depending on global supply and cost trends.
The CAAS added that the policy was designed to keep the transition fair, predictable and transparent — airlines will know exactly how much to collect, passengers will see where the money goes, and funds will be dedicated solely to sustainable fuel procurement.
“This approach ensures the transition to greener skies remains both financially viable and environmentally responsible,” the CAAS said.
Experts say Singapore’s model could set a precedent for other major aviation hubs exploring how to fund greener flying. The country’s strategy strikes a balance between encouraging sustainability and maintaining competitiveness in global air travel. By introducing a small, clearly defined levy, Singapore avoids imposing unpredictable costs on airlines while ensuring travellers contribute to the long-term environmental shift.
For most passengers, the change will barely affect travel budgets. The additional cost — between ₹68 and ₹700 for economy travellers — is negligible compared to international airfare, but symbolically it represents a major step in how the aviation industry tackles its carbon challenge. Business and first-class passengers will pay more, reflecting their larger share of emissions per seat.
Air travellers flying out of Singapore will soon pay a small additional charge on their tickets as part of the country’s push towards greener skies. The Civil Aviation Authority of Singapore (CAAS) has announced a “green fuel levy” to fund the use of sustainable aviation fuel (SAF) — a cleaner, low-carbon alternative to traditional jet fuel. The move makes Singapore the first country to formally build environmental accountability into flight pricing.
The new levy will appear as a separate line item on tickets for full transparency and will apply to flights departing from Singapore. It is designed to help cover the higher cost of SAF, which can cut emissions by up to 80% over its lifecycle compared to conventional jet fuel. However, the fuel remains significantly more expensive to produce and scale, making cost-sharing necessary to support its adoption.
Under the new system, passengers will pay a fixed amount based on flight distance and class of travel. Those in economy or premium economy will pay between S$1 (around ₹68) for short regional flights and S$10.40 (around ₹700) for long-haul routes to destinations such as the Americas. Travellers in business or first class will pay between S$4 (around ₹270) and S$41.60 (around ₹2,800). Cargo operators will contribute between S$0.01 and S$0.15 per kilogram (₹0.68–₹10/kg), depending on distance.
“The Green Fuel Levy ensures that those who benefit from air travel also contribute fairly to the effort of decarbonising aviation,” the CAAS said in a statement.
The levy will apply to tickets issued from April 1, 2026, and take effect from October 2026. Passengers who book before April 2026 will not be charged, even if their flight takes place later. The charge applies only to departures from Singapore, meaning transit passengers merely passing through Changi Airport will not have to pay it.
Singapore’s aviation authority said the scheme will directly support its goal for sustainable aviation fuel to account for 1% of total jet fuel use by 2026, with plans to raise that share to 3–5% by 2030, depending on global supply and cost trends.
The CAAS added that the policy was designed to keep the transition fair, predictable and transparent — airlines will know exactly how much to collect, passengers will see where the money goes, and funds will be dedicated solely to sustainable fuel procurement.
“This approach ensures the transition to greener skies remains both financially viable and environmentally responsible,” the CAAS said.
Experts say Singapore’s model could set a precedent for other major aviation hubs exploring how to fund greener flying. The country’s strategy strikes a balance between encouraging sustainability and maintaining competitiveness in global air travel. By introducing a small, clearly defined levy, Singapore avoids imposing unpredictable costs on airlines while ensuring travellers contribute to the long-term environmental shift.
For most passengers, the change will barely affect travel budgets. The additional cost — between ₹68 and ₹700 for economy travellers — is negligible compared to international airfare, but symbolically it represents a major step in how the aviation industry tackles its carbon challenge. Business and first-class passengers will pay more, reflecting their larger share of emissions per seat.