S’pore’s green jet fuel levy ‘sensible’, won’t put air hub status at risk: Iata chief

Plans to charge a levy on passengers departing Singapore so airlines here use greener jet fuel will not put the Republic’s status as a global aviation hub at risk, said International Air Transport Association (Iata) chief Willie Walsh. That is because all major air hubs and airlines around the world are pursuing a similar agenda, and passengers will ultimately bear the cost of the aviation industry’s transition to net-zero emissions by 2050, he told a press conference on Feb 19. Rounding up the second Changi Aviation Summit, which brought together more than 400 senior government officials and industry leaders, Walsh said the only credible option available for aviation to decarbonise by 2050 is to pursue the widespread use of sustainable fuels. Yet, such fuels are three to five times more expensive than conventional fuel, and this will be reflected in airfares, whether through a levy or airlines raising ticket prices. “The cost of travel will increase... It just cannot be avoided,” said Walsh, who heads the industry body representing 320 airlines, adding that carriers will pass on the extra costs incurred given the thin margins.<br/>