Associate Professor Zhang Weina (Department of Finance, Deputy Director of SGFIN) shared her insights in this interview by CNBC on sustainable aviation fuel (SAF). She explained that while SAF mandates set demand and SAF levies focus on costs. She noted that the mandates will push up the SAF prices in the short run due to the limited supply of SAF. The mandates alone are insufficient to boost supply. Greater policy support, such as de-risking projects and tax incentives, is needed to attract producers and expand capacity. Over time, increased supply could help ease price pressures.
