Singapore Sets 40% SAF Emissions Threshold for First Tender
Singapore’s first levy-funded SAF tender will cover 20,000 to 30,000 tons, require at least 40% lower lifecycle emissions and test how suppliers can deliver blended fuel through Changi.
By Nathan Brooks
4 min read

What's News
- SAF bought with levy proceeds must deliver at least 40% lower lifecycle emissions than conventional jet fuel.
- SAFCo will call its first tender by mid-December 2026 for 20,000 to 30,000 tons, with delivery from June 2027.
- The 40% threshold exceeds CORSIA’s 10% minimum and requires CORSIA-eligible fuel.
- 15 companies attended the supplier briefing; successful tenderers must deliver through Changi’s existing fuel hydrant installation.
- SAFCo may award the 20-to-30-kilotonne first tender to one or more suppliers and plans later tenders as volumes rise.
By Nathan Brooks
Singapore will require sustainable aviation fuel bought with SAF levy proceeds to deliver at least 40% lower lifecycle emissions than conventional jet fuel, the Civil Aviation Authority of Singapore said.
The Civil Aviation Authority of Singapore (CAAS) said on Thursday that Singapore Sustainable Aviation Fuel Company Ltd. (SAFCo) will call its first tender by mid-December 2026. The initial volume is 20 to 30 kilotonnes, or 20,000 to 30,000 tons, with delivery from June 2027.
SAFCo said the first volume forms part of a portfolio that combines term contracts and spot purchases. The company said the initial tender will test market response and guide later procurement as volumes rise; more tenders will follow.
CAAS said Singapore will use SAF levy proceeds to buy the fuel and uplift it onto flights departing Singapore.
What does this first tender change for fuel suppliers?
For producers, the tender makes sustainability credentials and delivery capability prerequisites, not merely price considerations. CAAS said every lot bought with levy proceeds must meet two criteria:
- It must be eligible under the International Civil Aviation Organization’s Carbon Offsetting and Reduction Scheme for International Aviation, known as CORSIA.
- It must achieve at least a 40% reduction in lifecycle emissions compared with conventional jet fuel, above CORSIA’s 10% minimum.
CAAS said CORSIA sets internationally recognized sustainability criteria for cleaner aviation fuels. The agency also said the 40% threshold is benchmarked against thresholds in other jurisdictions.
CAAS said the higher bar preserves access to a wide range of current and emerging feedstocks and pathways. Those include SAF produced via the Hydro-processed Esters and Fatty Acids, or HEFA, pathway with used cooking oil and animal fats as feedstock.
SAFCo will assess tender bids on:
- Price competitiveness.
- Supply chain resilience.
- Delivery certainty.
- Sustainability documentation capability.
- Ability to support development of Singapore’s SAF ecosystem.
SAFCo said the tender will remain open to all SAF suppliers and producers that can demonstrate they can deliver into Changi Airport through the existing Changi Airport Fuel Hydrant Installation infrastructure. Bidders also must meet applicable technical quality, sustainability and procurement requirements.
SAFCo said it will allow more time for bidders to prepare because the procurement is novel. The company may award contracts to one or more suppliers, with successful tenderers delivering SAF in blended form from June 2027.
SAFCo shared the criteria at a briefing for potential suppliers and producers. The company said 15 companies attended.
Han Kok Juan, Director-General of CAAS, cited that industry interest:
“CAAS is encouraged by the strong industry interest in the first tender for SAF to be procured using proceeds from the SAF Levy. Singapore is taking a practical and balanced approach to decarbonising aviation, one that delivers meaningful emission reductions while maintaining the air hub’s competitiveness,” Han said.
Han also said:
“We are putting this approach into practice through the implementation of a nationally mandated SAF Levy at affordable rates and the centralized procurement of SAF at acceptable standards.”
He added:
“We hope that our approach can serve as a meaningful pathfinder for aviation decarbonization and useful point of reference for other countries which are working out their own approaches based on their respective circumstances and considerations.”
Tan Seow Hui, Chief Executive Officer of SAFCo, said the scaling challenge goes beyond securing fuel. She said SAFCo must build a trusted market that connects demand, supply, sustainability assurance and environmental attributes in a way that works in practice.
“Over the past year, SAFCo has been putting these foundations in place and, through our voluntary procurement trial, testing them in a real operating environment. This first procurement using SAF Levy proceeds is where those foundations begin to translate into scale,” Tan said.
“Our priority is to build a competitive, credible and resilient procurement program that broadens access to SAF supply, delivers meaningful emissions reductions and lays the foundations for Singapore’s SAF ecosystem to grow over the longer term,” she added.
For suppliers, SAFCo’s criteria shift competition beyond a fuel price quote. They must document at least a 40% lifecycle-emissions reduction, prove CORSIA eligibility and show they can deliver blended fuel through Changi’s existing hydrant infrastructure from June 2027.
SAFCo said the first award will provide a market test through the initial 20 to 30 kilotonnes. The company said that volume will inform later procurement, while additional tenders will expand the program as volumes ramp up. For suppliers, clearing the December 2026 bid opens access to a procurement pipeline that SAFCo plans to grow, but only if they meet the emissions, documentation and Changi-delivery tests.
Source: technode.global
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News editor covering regulation, policy and their impact on entrepreneurship, startups and venture funding at Business Bearings.
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