(March 25): Singapore is delaying a sustainable aviation fuel levy that airline customers were meant to start paying next month, due to the surge in fuel costs spurred by the Iran war.
The extra charges will now begin Oct 1, Singapore’s civil aviation authority said on Wednesday. The new levy will depend on the class of travel or length of flight, and could total as much much as $41.60 (US$32.54) for passengers. Customers will pay an additional $1 for trips to Southeast Asia, and $10.40 for flights to the Americas, the Civil Aviation Authority of Singapore said in November.
The goal of the levy is to raise funds to achieve Singapore’s ambition of having all flights depart the nation with 1% sustainable aviation fuel in their tanks from 2026, rising to between 3% and 5% by 2030. But the military conflict in the Middle East has raised the price of jet fuel, adding to the costs travellers face.
“Singapore remains firmly committed to aviation decarbonisation,” said Han Kok Juan, director general of CAAS. “We are taking a pragmatic pause in view of the current situation.”
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