Singapore plans next month to launch sustainable aviation fuel credits in a bid to reduce carbon dioxide emissions.
The program, launched by the Singapore Civil Aviation Authority (CAAS), Singapore Airlines and State Asset Fund Temasek, will sell 1,000 credits generated from 1,000 tonnes of sustainable aviation fuel from Singapore’s Changi Airport.
Sustainable Aviation Fuel is made from sustainable resources that can be blended with any fossil fuel to reduce emissions without requiring modifications to aircraft or fueling infrastructure.
By purchasing these credits, buyers can help drive demand for sustainable aviation fuel, support its development and advance its adoption, the three entities said in a joint statement.
The credits are expected to reduce carbon dioxide emissions by 2,500 tonnes. Global aviation produced around 900 million tonnes of carbon dioxide in 2019, according to the International Clean Transportation Council.
“The launch of the credits offers customers, including business and individual travellers, as well as freight forwarders, a way to do their part for the environment and reduce their carbon footprint,” the statement said.
Freight forwarders can in turn sell the credits to their downstream customers to reduce carbon emissions from their business operations.
“Creating a reliable and vibrant market for the sale and purchase of these credits in Singapore will help support the adoption of sustainable aviation fuel, which is essential for the decarbonisation of the aviation sector” , said Han Kok Juan, general manager of CAAS, said.