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Funding Singapore’s Sustainable Aviation Future

Singapore’s SAF Levy plays a central role in enabling our transition to Sustainable Aviation Fuel. By channeling contributions into a trusted national framework, the Levy ensures that Singapore can procure SAF at scale, supports its decarbonisation goals, and keep our aviation sector future-ready and competitive.

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Singapore's Long-Term SAF Roadmap

Singapore's SAF transition will unfold in phases — beginning with the 2026 regulated target and scaling as supply and technology mature. This phased approach builds a scalable, integrated SAF ecosystem that supports long-term decarbonisation and strengthens Singapore's aviation sector.

2026
2027-2030
2030
2030-2050
2050

SAF Levy implements; 1% regulated SAF target begins; centralised procurement starts.

Voluntary SAF market expands; stronger demand aggregation; early regional supply development.

Aim to increase SAF target to 3% - 5%, subject to global supply and adoption.

Continued scaling of procurement, partnerships, and SAF availability.

Net-zero aviation ambition.

2026

2027-2030

2030

2030-2050

2050

Singapore's SAF Levy and Its Role in Our SAF Transition

The SAF Levy provides the foundation for uplifting Sustainable Aviation Fuel at scale. Here's how it works — and why it is central to Singapore's long-term aviation decarbonisation efforts.

What is the SAF Levy

The SAF Levy is a fee that will apply to all flights departing Singapore from 1 October 2026, for tickets sold from 1 April 2026. It pools contributions at a national level, allowing Singapore to purchase Sustainable Aviation Fuel (SAF) in larger, more cost-efficient volumes. This coordinated approach provides a transparent and consistent mechanism to support SAF deployment under Singapore's Sustainable Air Hub Blueprint.

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Why does the Levy matter?

01

Ensure cost certainty for airlines and travellers by setting fixed Levy amounts independent of fluctuating SAF market prices.

02

Send a clear, aggregated demand signal that encourages producers to invest in regional SAF supply and infrastructure.

03

Support national decarbonisation goals, including Singapore's 1% SAF target from 2026, with room to scale as availability grows.

04

Maintain the competitiveness and resilience of Singapore's aviation hub as the global industry transitions toward lower-carbon fuels.

How does the SAF Levy work?

Here's how the SAF Levy moves from collection to impact across the aviation ecosystem.

Levy Collection

Under the SAF Levy framework, airlines apply a fixed charge at the point of sale and remit the proceeds to CAAS. This centralised collection system ensures transparency, uniform pricing across airlines, and a stable funding base for national SAF procurement through the SAF Fund. The levy will be rolled out in stages, applying to tickets sold from 1 April 2026 and taking effect for all flights departing Singapore from 1 October 2026. Learn more >

SAF Fund

All Levy proceeds are channelled into a dedicated national SAF Fund administered by CAAS to support the purchase of SAF and SAF Environmental Attributes (EAs), as well as related administrative costs.

SAF Procurement

SAFCo aggregates national demand and procures CORSIA-eligible SAF at scale through a transparent, competitive tender process.

EAi Allocation

Environmental Attributes (EAs) from procured SAF are allocated back to airlines in proportion to their Levy contributions, enabling CORSIA-aligned emissions reporting.