Singapore Airlines buys neat SAF from Neste


Singapore Airlines Group said that it has signed an agreement with Neste to purchase 1,000 tonnes of neat sustainable aviation fuel (SAF) making SIA and Scoot, the two airlines part of the group, the first carriers to receive the renewable fuel produced at Neste’s refinery in the country, at Changi Airport.

“This agreement with Neste is an important milestone in the SIA Group’s journey to have a minimum of 5% SAF in our total fuel uplift by 2030,” said Lee Wen Fen, chief sustainability officer, Singapore Airline.

Neste will blend the SAF with conventional jet fuel and deliver the blended jet fuel to Changi Airport’s fuel hydrant system in two batches – once in the second quarter of 2024 and once in the fourth quarter of this year.

Starting from May 2024, SIA will offer 1,000 SAF book and claim units (BCUs) for purchase by its corporate travellers, shippers, and freight forwarders.

Each BCU represents one tonne of neat SAF with its associated carbon dioxide reduction benefit.

“We are proud that Singapore Airlines and Scoot are our first customers benefiting from our integrated supply capabilities into Changi Airport. This supply of locally produced SAF to Changi Airport is a milestone in our journey of supporting the aviation industry and governments in the region to achieve their emissions reduction goals,” said Mr Alexander Kueper, vice president renewable aviation, Neste.

Earlier, Singapore Government announced that all flights departing from the country will have to use SAF from 2026 as the Civil Aviation Authority of Singapore (CAAS) recently announced it is ‘operationally’ ready for SAF.

Singapore transport minister Chee Hong Tat said that the country aims for a 1% SAF target from 2026 and plans to raise it to 3-5% by 2030, according to a plan announced by the country’s aviation authority.

The CAAS plans to implement a SAF levy on passengers to ensure SAF availability at airports. The plan proposes levy based on factors such as distance travelled and travel class.

Neste currently operates a 1m tonnes per annum SAF production facility in Singapore to supply the green jet fuel to Changi Airport.