Depth report

　　

The biennial Singapore Airshow kicked off at the Changi Airport Exhibition Centre on February 20, with more than 1,000 companies from more than 50 countries and regions participating in the event. Among the 16 national pavilions, the pavilions of China, the Republic of Korea and the Czech Republic were set up for the first time.

The theme of this year's airshow is "Sustainable Development". This is the first time in six years that the scale of the Singapore Airshow has returned to the pre-pandemic 2018 level. Singapore is the hub of the global aviation market, and the meticulous preparation and smooth hosting of this airshow highlights Singapore's unremitting efforts to build a new high ground in the global aviation industry.

The six-day event will provide a platform for the industry to discuss the sustainable development and transformation of the aviation industry through air shows, aircraft exhibitions, equipment exhibitions, aviation executives' Forum, Advanced Air Transport Forum and bilateral Aviation Forum between Singapore and China. China's large passenger aircraft C919 went to overseas exhibition for the first time, becoming one of the hot spots of Singapore media and people from all walks of life.

Over the years, Singapore Airlines and Changi Airport have won the reputation of the world's best airline and best airport in various industry competitions, respectively, and have been praised by international passengers for their safety, timeliness and service quality. During the Airshow, the Singapore Government announced the launch of the Sustainable Aviation Hub Blueprint to promote the transformation and sustainable development of the aviation industry and further strengthen its position as a global aviation hub port.

Singapore's "Sustainable Aviation Hub Blueprint" will set medium - and long-term targets for reducing emissions in its domestic and international aviation sectors. Under the blueprint, Singapore aims to reduce carbon emissions from airport operations by 20% by 2030 compared to 2019 levels, and achieve net zero carbon emissions from Singapore's domestic and international aviation industries (excluding Changi East and Changi Airport Terminal 5) by 2050.

Singapore will achieve the aviation Sustainability Goals in a gradual manner, striking a balance between sustainability and competitiveness to support the aviation industry's long-term growth in the coming decades, while reducing carbon emissions to create the conditions for achieving net zero emissions by 2050. In the coming years, the Civil Aviation Authority of Singapore (CAA) will promote the decarbonisation of the aviation sector through a number of initiatives in three areas: airports, airlines and air traffic management.

First, there will be a "Sustainable Aviation Fuel (SAF) tax". The Civil Aviation Authority of Singapore has mandated the use of SAF on departing flights from 2026, with the initial goal of increasing the use of SAF to 1% of total fuel, and to 3% to 5% by 2030. At the same time, it is the first in the world to levy SAF tax on passengers.

Second, the purpose of the government's SAF levy from 2026 is to use the tax to purchase SAF to overcome the current problem of limited supply and high price volatility in the SAF market and provide certainty for airlines and passengers. The Civil Aviation Authority of Singapore will also expand SAF demand through central SAF procurement.

Third, it is reported that the Civil Aviation Authority of Singapore will levy taxes on passengers by distance flown and class, and announce the details in 2025. The amount of tax payable by passengers will depend on the distance flown and class of cabin; The further the flight and the better the class, the higher the tax. According to current preliminary estimates by the Civil Aviation Authority of Singapore, with a 1% SAF for flights in 2026, economy class passengers may have to pay a SAF tax of S $3 for flights from Singapore to Bangkok, S $6 for flights to Tokyo and S $16 for flights to London.

More and more countries are adopting SAF, such as Japan, which plans to set the SAF ratio at 10% by 2030. SAF is currently three to five times more expensive than conventional fuel. The Civil Aviation Authority of Singapore said it would strike a balance between the use of SAF and conventional aviation fuels, taking into account the interests of businesses and passengers. Singapore Airlines Group said SAF will account for 5 per cent of Singapore Airlines' and Scoot's combined fuel capacity by 2030.

Second, we need to increase clean energy supply. At Changi Airport, five initiatives have been taken to reduce the energy consumption of airport operations by increasing the installation of solar panels, switching to clean energy for air and ground service vehicles, improving electricity efficiency, importing low-carbon electricity, and converting waste into energy. Singapore will install more solar panels in Changi Airport passenger buildings, ancillary buildings, the top floor of cargo buildings and lawns, increasing power supply by 6%.

Third, improve air traffic management. By improving operational efficiency and optimizing flight routes, reducing route miles and flight times, it helps airlines save fuel costs, reduce passenger flight time, and reduce carbon emissions. Over the next five years, the Civil Aviation Authority of Singapore will implement three initiatives to improve air traffic management, improve efficiency through new technologies and new operational concepts, and reduce additional fuel consumption and carbon emissions by 10%.

Fourth, we need to strengthen cooperation with international organizations. To train and nurture aviation professionals, Singapore will further strengthen cooperation with International Civil aviation organizations and other organizations, and update and launch the Singapore-ICAO Next Generation Aviation Professionals Scholarship Scheme in aviation safety and talent development. Cooperate in the areas of safety training and capacity development to equip aviation professionals to meet safety challenges and improve aviation safety standards.

Fifth, expand the space for personnel training. The Singapore Civil Aviation Academy will invest S $120 million in its first major space transformation project in more than 30 years, adding facilities such as an aviation exhibition hall to train a new generation of aviation professionals and support the development of international aviation and Singapore's aviation hub, which is expected to increase the training space by 20% upon completion in 2026.

In August 2023, Singapore launched the Air Transport Industry Transformation Map 2025 (ITM) to position the aviation industry for the future. ITM2025 includes four key strategies: First, to build a safe and sustainable aviation hub; The second is to transform the airport operation mode and build a clean, green, intelligent and automated airport. Enhancing cutting-edge innovation in the aviation industry to make full use of innovation and technology to increase productivity and achieve new growth; The fourth is to cultivate a future-oriented and resilient workforce for the benefit of business and society.