Singapore Airlines & Aether Fuels Partner for Sustainable Aviation Fuel
In a significant move toward aviation sustainability, the Singapore Airlines (SIA) Group has signed a Memorandum of Understanding (MoU) with Aether Fuels (Aether), a climate technology firm specializing in sustainable aviation fuel (SAF) production. This agreement paves the way for the potential procurement of neat SAF from Aether over an extended period, reinforcing SIA’s commitment to decarbonization and the broader sustainability goals of the global aviation industry.
A Pioneering Collaboration for Sustainable Aviation
The agreement outlines the SIA Group’s intention to procure neat SAF for five years upon Aether’s commercial production launch, with an option to extend for an additional five years. This SAF will be blended with conventional jet fuel before being supplied to selected airports served by Singapore Airlines and its low-cost subsidiary, Scoot. By committing to a long-term SAF supply, SIA aims to establish a steady and scalable adoption of sustainable fuel in its operations, supporting international carbon reduction initiatives and setting a precedent for regional airlines to follow suit.
Aether Fuels, which plans to establish production plants in the United States and South East Asia, will leverage its proprietary Aether Aurora™ technology to convert waste carbon feedstock into high-yield SAF. This technology promises improved efficiency, reduced capital costs, and a higher SAF output compared to conventional production techniques. If successfully scaled, this innovative approach could significantly contribute to reducing the aviation industry’s carbon footprint while addressing feedstock constraints that have historically limited SAF production.
SIA’s Commitment to a Sustainable Future
Ms. Lee Wen Fen, Chief Sustainability Officer at Singapore Airlines, emphasized the importance of this collaboration, stating: “This partnership marks another step in the SIA Group’s journey towards our long-term decarbonization goal of net-zero carbon emissions by 2050. By collaborating with like-minded ecosystem partners such as Aether, we aim Partner to accelerate and scale up the adoption of SAF in our flight operations, laying the groundwork for more sustainable air travel.”
SIA has consistently demonstrated its commitment to sustainability through various initiatives, including fleet modernization, carbon offset programs, and operational efficiency improvements. However, the widespread adoption of SAF is seen as one of the most crucial levers in achieving net-zero emissions. Unlike conventional jet fuel, SAF can be produced from renewable and waste-derived sources, leading to significantly lower greenhouse gas (GHG) emissions over its lifecycle. When blended with regular jet fuel, SAF can be used in existing aircraft engines without modification, making it a viable near-term solution for sustainable aviation.
Aether’s Innovative Approach to SAF Production
Aether Fuels was incubated and funded in 2022 by Xora, a deep tech venture firm backed by Temasek, a Singaporean investment company. Since its inception, Aether has expanded its presence in South East Asia while also growing its research Partner and development hub in Chicago. The company’s upcoming commercial-scale SAF production projects in the U.S. and South East Asia will adhere to the Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA) certification, ensuring compliance with rigorous international sustainability standards.
These projects aim to achieve a minimum greenhouse gas reduction of 75% compared to conventional jet fuel, representing a major advancement in the aviation industry’s transition to greener energy sources. If successfully implemented, this level of emissions reduction could set new benchmarks for SAF producers globally, further accelerating the aviation sector’s shift toward cleaner fuels.
Mr. Conor Madigan, Chief Executive Officer of Aether Fuels, expressed optimism about the collaboration: “We are proud to join the SIA Group’s ecosystem of SAF technology innovators. Their decarbonization goals are catalyzing ingenuity throughout the supply chain and galvanizing companies like Aether to develop production solutions Partner that pair breakthrough technologies with next-generation feedstock strategies. The collaboration will deepen our understanding of the end-user customer priorities and of the SAF market, particularly in South East Asia. These advantages will further inform our project development programs and accelerate our path to commercialization.”
Strategic Support and Industry Impact
Temasek’s backing of Aether Fuels through Xora highlights Singapore’s broader commitment to fostering deep tech innovation, particularly in sustainability-related sectors. With Singapore’s strategic positioning as a global aviation hub, partnerships such as this one strengthen the nation’s leadership in green aviation initiatives.
Mr. Phil Inagaki, Managing Partner and Chief Investment Officer at Xora, and Board Chair of Aether Fuels, echoed this sentiment, stating: “It is encouraging to see the SIA Group committing to meaningful sustainability goals and taking concrete steps Partner to advance the adoption of SAF. Singapore has built a supportive environment for deep tech innovation, empowering companies like Aether to amplify the impact of transformative solutions to global challenges. Its Aurora™ breakthrough technology enables the production of SAF with the lowest green premium and most flexible, scalable feedstock. This collaboration with the SIA Group reflects a shared focus and commitment, making it a natural fit that will undoubtedly accelerate SAF innovation and adoption.”
The aviation sector faces mounting pressure to reduce its carbon footprint as regulatory frameworks, such as CORSIA and the European Union’s “Fit for 55” package, push for stricter emissions reductions. Airlines worldwide are increasingly looking toward SAF as a practical and effective solution to bridge the gap between current carbon-intensive operations and future net-zero aspirations.
Challenges and Future Outlook
Despite the promising potential of SAF, significant challenges remain in scaling production to meet global demand. Currently, SAF accounts for Partner less than 1% of total aviation fuel consumption, primarily due to high production costs and limited availability. Partnerships like the one between SIA and Aether Fuels are crucial in addressing these challenges by fostering investment in new production technologies, optimizing feedstock supply chains, and driving economies of scale.
Furthermore, governments and industry stakeholders must continue to collaborate on regulatory frameworks, incentives, and subsidies to support SAF adoption. Countries such as the United States and the European Union have introduced tax credits and mandates to accelerate SAF production and usage. Singapore, as a key player in the aviation industry, has an opportunity to further enhance its policies to support SAF adoption, positioning itself as a leader in the sustainable aviation space.