Friday 7 Aug, 2026

Collecting aviation tax – will invest in fuel

Photo:climate.ec.europa.eu

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Singapore will be the first in the world to introduce an aviation tax where the revenue will be used to purchase green aviation fuel.

Singapore is a major aviation hub, approaching 70 million passengers a year. Starting next year, those flying out of the city-state will be required to pay a green fee. Passengers with only stopovers will not have to pay. 

The equivalent of 303 kronor will be the highest flight tax, for first class and business travelers to North and South America. 

Those who instead fly economy class to other parts of Southeast Asia will get away with the equivalent of 7 kronor in fees, and for those going to Europe in economy class, the ticket will be 47 kronor more expensive. 

The money collected will be used to purchase green aviation fuel, with the goal of it accounting for up to five percent of the total by 2030. 

The aviation sector accounted for approximately 2 percent of the world's climate emissions in 2022, according to European Commission, but it is one of the fastest growing sources of emissions.

Source: DI.SE

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