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Carbon Tax May Raise Ticket Rp3.6 M, Indonesia Aims 1% SAF 2027

October 24, 2025Ben Asmadeus

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Carbon Tax May Raise Ticket Rp3.6 M, Indonesia Aims 1% SAF 2027
Airplane silhouette with carbon tax iconGambar: pajak.com

The Dutch government will impose an international aviation carbon tax, levying a penalty of up to €190 (about Rp3.6 million) per passenger for airlines that do not use sustainable fuel. The measure is expected to take effect next year and could raise the price of flights to Europe, especially to the Netherlands. Travelers would absorb the extra cost through higher ticket prices.

Indonesia’s Ministry of Transportation aims to achieve a 1 % share of Sustainable Aviation Fuel (SAF) by 2027, focusing on waste‑cooking‑oil‑based SAF that meets global standards. Pertamina has launched a 1 % bio‑jet fuel blend using waste oil, certified by ISCC and the EU Renewable Energy Directive, whereas pure palm‑oil fuel is not accepted. The government also requires all airports and airlines to calculate and report their carbon emissions independently by 2027.

Failure to meet the SAF requirement would expose airlines to similar penalties, pushing ticket prices higher. Using waste‑oil SAF helps Indonesia avoid the carbon tax and creates export opportunities to countries with high tariffs. The initiative aligns with Indonesia’s net‑zero target for 2060 and contributes to lowering aviation‑related emissions.

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Source: Pajak.com

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