Frequently Asked Questions
What is carbon offsetting?
Carbon offsetting allows individuals and businesses to reduce their environmental impact. By purchasing independently verified carbon offsets, customers support accredited environmental projects that either remove greenhouse gas emissions from the atmosphere (such as planting trees), or prevent future emissions (such as replacing a coal-fired power station with a wind farm). One unit of carbon offset represents one metric tonne of greenhouse gas emissions avoided or removed from the atmosphere.
Why do we only refer to carbon?
There are seven main greenhouse gases: carbon dioxide, methane, nitrous oxide, chlorofluorocarbon, hydrofluorocarbon, sulfur hexafluoride and nitrogen trifluoride.
Each greenhouse gas has a different impact on climate, called the global-warming potential (GWP). Each greenhouse gas has a different environment impact which can be measured using the Global-Warming Potential (GWP) metric. Based on their respective GWP, each greenhouse gas can be converted into carbon dioxide equivalent (CO2e) to determine their individual and combined contributions to global warming. Therefore, carbon offsetting is typically transacted in CO2e as a common unit.
How are my cargo emissions calculated?
The cargo emissions are computed using TEM BlueHalo® technology. The BlueHalo® software uses the United Kingdom’s Department for Environment, Food and Rural Affairs (DEFRA) international standards to convert greenhouse gas emissions associated with your cargo such as aircraft type, distance travelled and litres of fuel used, to tonnes of CO2e. The BlueHalo® calculations are continually updated as best practice international standards for greenhouse gas calculations evolve.
How often are the carbon calculations updated?
The average flight factors published in the 2020 UK Government Carbon Emissions Factors documentation are utilised. This is commonly referred to as DEFRA factors.
How do you calculate the emissions factors for airfreight?
The average flight factors published in the 2020 United Kingdom Government Carbon Emissions Factors documentation are utilised. This is commonly referred to as DEFRA factors.
How does DEFRA come up with its factors?
The DEFRA aircraft emissions factor approach is consistent across passenger and freight calculations, which uses an emissions calculation tool to derive the average emissions factors from real world flight activity data.
How long will it take for me to view my emissions after uploading my company’s data into the system?
Your company’s data will be processed within 48 hours and an email notification will be sent when it has been successfully processed.
If I have made mistakes in the submission of cargo information, will it let me know where I made an error?
Yes, you will receive an email notification with the file of the offset transactions that were not calculated due to data errors in cargo information.
Do I need to provide my company data if I want to complete a carbon transaction?
Yes, one’s company data is required so as to ensure that the correct tax (in regions where this is applicable such as Australia and New Zealand) is applied in the invoice.
Does my organisation need to pay Government Service Tax (GST) when purchasing carbon offsets with SIA?
The SIA Group’s voluntary carbon offsets are provided via the BlueHalo® digital solution, a system by Australia-registered carbon offset provider, Tasman Environmental Markets (TEM). Hence, only Australia-based entities are subjected to GST.
What type of payment can I use to undertake the carbon offsets?
Customers can make an electronic bank payment through invoicing.
How do you know the offset is really happening?
The SIA Group supports carbon offset projects that are verified in accordance with international standards by independent third-party auditors under the Verified Carbon StandardProgram and the Gold Standard
These standards ensure that each project delivers real, measurable emissions reductions, which would not have occurred in a business-as-usual scenario. Each project is issued carbon offsets, and each offset holds a unique serial number for traceability to prevent double accounting in the market. For instance, if the project demonstrated a reduction of 1,000 tonnes of emissions, they would be issued with 1,000 verified carbon offsets.
Supported projects are also compliant or finalising compliance with strict criteria under the Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA) governed by the International Civil Aviation Organization (ICAO).
Carbon offsets purchased by corporates are retired by TEM in the respective carbon registries where the projects are verified. This ensures that the offsets cannot be traded again.
Which offset projects does my contribution support?
The SIA Group supports a portfolio of accredited projects which brings about environmental and socio-economic benefits to local communities in Asia. These projects include:
Our portfolio of projects includes:
- Forest Restoration Initiatives in Indonesia which capture and stores carbon in trees, preserve habitats for native wildlife, and support development of the local villagers through employment and training opportunities.
- Solar Energy Projects in India: These projects generate clean renewable electricity for power which would otherwise be supplied by a fossil-fuel fired power plant. These projects also creates jobs, and strengthens rural electrification coverage.
- Distribution of Efficient, Clean burning Cookstoves in Nepal: These cookstoves significantly reduce the amount of smoke produced during cooking, lowering associated health risks, particularly for women and children who are responsible for meal preparation.
Learn more about the projects we support here
Does SIA profit from this programme?
No. SIA does not profit from the sale of carbon offsets purchased under the carbon offset programme. All voluntary contributions made by customers are directly channelled to TEM to source carbon offsets from projects worldwide. This includes administration fees paid to TEM to carry out due diligence in sourcing and supplying carbon offsets, as well as managing the offset retirement process and all carbon accounting.
Does Singapore Airlines profit from this programme?
No. SIA does not profit from the sale of carbon offsets purchased under the carbon offset programme. All contributions made by customers are used to source carbon offsets from projects worldwide, which includes administration fees paid to TEM to carry out due diligence of sourcing and supplying carbon offsets, including managing the offset retirement process and all carbon accounting.
What else is Singapore Airlines Cargo doing to reduce its environmental impact?
The SIA Group believes that a sustainable aviation industry helps to ensure that future generations continue to benefit from the global connectivity, economic prosperity, and people links that air travel enable.
We are firmly committed to find new and innovative ways to reduce our environmental impact and support communities we serve, while enhancing our customers’ journey with us.
Learn more about our sustainability initiatives here.
Does SIA participate in CORSIA?
Developed by the International Civil Aviation Organization (ICAO) in 2016, the Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA) is a carbon reduction and carbon offset programme to lower carbon emissions for international flights and reduce aviation’s impact on climate change.
It is the first global market-based measure developed for the aviation sector to offset residual carbon emissions that cannot be directly reduced through technological and operational improvements, as well as alternative low-carbon fuels, in order to meet ICAO’s aspirational goal of carbon neutral growth from 2020. ICAO sets strict criteria for which carbon offset project development programmes are eligible for compliance under CORSIA.
CORSIA continues to play an important and complementary role in helping the hard-to-abate aviation industry decarbonise, whilst taking into consideration the challenges and limitations in adoption of low-carbon fuels and aircraft technologies today.
CORSIA plays an integral role in helping the aviation industry decarbonise in a cost- efficient manner. The SIA Group has voluntarily participated in it since 2019, ahead of the mandatory implementation for all airlines from 2027.
Why does SIA offer voluntary offsetting when it complies with CORSIA?
While SIA supports and complies with longer-term international obligations under CORSIA to reduce emissions from international aviation, we believe that every act counts and everyone plays a part.
We aim to enable our customers to learn more about their carbon footprint from air travel or cargo, and have the option to make voluntary contributions towards verified carbon offset projects that bring about environmental and socio-economic benefits to communities in Asia.
Is my contribution helping SIA reach its CORSIA obligation?
No. SIA manages all compliance requirements under CORSIA at our own cost.
Who is TEM?
TEM, is an Australia-registered carbon offset service provider that supports Singapore Airlines Cargo through its BlueHalo® digital platform which allows instant calculation of cargo flight emissions and the offset of those emissions via this website.