Published 1 hour ago • loading... • Updated 5 hours ago
Malaysia Airlines parent company may consider a green tax as sustainable fuel strains airlines
Malaysia Airlines’ parent says SAF makes up under 1% of global jet fuel use and is too costly, prompting a review of a possible green tax.
On Monday, Nasaruddin, head of Malaysia Airlines' parent company, said he does not rule out a green tax on passengers to offset high sustainable aviation fuel costs, though the move would further raise ticket prices.
Sustainable aviation fuel currently accounts for under 1% of global jet fuel use, as production capacity and access to sustainable feedstocks remain key constraints limiting wider adoption.
To meet emissions goals, Malaysia Airlines is modernizing its fleet with orders for 40 fuel-efficient Airbus A330neos and 55 Boeing 737 MAX jets; using SAF could cut about 65% of industry emissions.
Neighboring Singapore announced a government-mandated green aviation tax starting January 2027, while Nasaruddin warned that passing full costs to consumers could make air travel less attractive without industry collaboration.
The International Civil Aviation Organization has set a goal of zero net carbon emissions for 2050, though the group faces added pressure from higher conventional jet fuel prices amid the Iran war.