CAAS Sets Up New $50 Million Aviation Sustainability Programme

Up to 70% funding for projects that reduce carbon emissions, build new capabilities, or develop collaborative ecosystem for sustainable air hub

        The Government will commit $50 million for the Civil Aviation Authority of Singapore (CAAS) to set up a new Aviation Sustainability Programme to support Singapore’s drive to develop a sustainable air hub. The $50 million programme will provide up to 70% funding for sector-wide projects and up to 50% funding for company-level projects.

2        The Aviation Sustainability Programme will fund and support projects that deliver one or more of the following key thrusts: 

(i) Catalyse sustainability initiatives to reduce the sector’s carbon footprint
Domestic and international carbon emissions of the Singapore air hub are expected to rise as air traffic volume continues to grow[1]. The programme will support projects that reduce energy use and demonstrate a potential sizable carbon emission reduction of at least 10% for the process or activity targeted.

(ii) Develop new sustainability capabilities
As climate consciousness grows, sustainability has become an increasingly important competitive advantage for air hubs around the world. The Aviation Sustainability Programme will support the sector’s efforts to develop and test-bed new service offerings, and enhance companies’ capabilities in harnessing and deploying sustainability solutions.

(iii) Develop a collaborative aviation sustainability ecosystem
Advancing sustainability in the aviation sector requires cross-sectoral collaboration and private-public partnerships, in order to scale up solutions and generate spillover effects across the ecosystem. The Aviation Sustainability Programme is therefore intended to bring ecosystem partners together to work on research and development, green certification or standards development, and foster knowledge transfer.

3        Examples of projects which the Aviation Sustainability Programme could support include the adoption of novel or more energy- efficient airport systems and/or equipment; optimisation of airport processes to enhance operational efficiency and sustainability of key processes, such as reducing aircraft turnaround time or improving airside vehicle movements; and transition to cleaner energy sources such as testing of new alternative or low carbon fuels.

4        CAAS will be conducting the first call for proposals from 1 April to 30 April 2023. Companies that wish to enquire more about the call for proposals, may contact CAAS at caas_sustainability@caas.gov.sg.

5       The setting up of the Aviation Sustainability Programme is another critical step in Singapore’s aviation sustainability journey. In September 2022, the International Advisory Panel (IAP) on Sustainable Air Hub submitted a report, detailing 15 key initiatives across three key aviation domains of airport, airline, and air traffic management that Singapore could embark on as tangible pathways to decarbonise the aviation sector. CAAS is studying the recommendations and will incorporate them into the development of the Sustainable Air Hub Blueprint. CAAS plans to publish the Blueprint later in 2023 to provide a decarbonisation roadmap for the Singapore air hub, with medium-term 2030 and longer-term 2050 targets and tangible pathways for achieving them.

6       Mr Han Kok Juan, Director-General of CAAS, said, “Coming out of the COVID-19 pandemic, we want to build sustainability as a new competitive advantage for the Singapore air hub. The new $50 million programme is a response to industry feedback and will provide a much-needed boost to our effort to decarbonise. It will help alleviate investment cost and catalyse and accelerate company-level projects. It will also facilitate sector-wide risk pooling, capability building and collaboration which will be how we can distinguish ourselves from other air hubs.

[1] In 2019, operations at Singapore’s airports accounted for 297.5ktCO2 or about 0.7% of Singapore’s domestic carbon emissions while Singapore air operators accounted for 17.6MtCO2 or about 2.8% of international aviation carbon emissions. __________________________________________________

About the Civil Aviation Authority of Singapore
The mission of the Civil Aviation Authority of Singapore (CAAS) is to grow a safe, vibrant air hub and civil aviation system, making a key contribution to Singapore's success. CAAS' roles are to oversee and promote safety in the aviation industry, develop the air hub and aviation industry, provide air navigation services, provide aviation training for human resource development, and contribute to the development of international civil aviation.

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Civil Aviation Authority of Singapore
Email: caas_corporate_communications@caas.gov.sg