Keynote Address by Acting Minister for Transport, Mr Chee Hong Tat, at the Launch of the Air Transport Industry Transformation Map 2025

Ms Cham Hui Fong, Deputy Secretary-General of NTUC,

Mr Lee Seow Hiang, CEO of Changi Airport Group,

Mr Kerry Mok, CEO of SATS,

Mr Leslie Thng, CEO of Scoot,

Mr Barathan, CEO of Jetstar Asia,

Representatives from dnata, SIA EC, Singapore Airlines and NTUC Aerospace and Aviation Cluster,

Distinguished guests,

Ladies and gentlemen,

1.     Good morning！I am delighted to join you today at the second edition of the OneAviation Careers fair. Some of you may recall that I had attended the inaugural edition of the fair last year, when our aviation industry has just started its recovery journey after going through a long and cold winter during the pandemic.

2.     What a difference a year has made! 

a.     At the time of this event last year, passenger traffic at Changi Airport was just near 50% of pre-COVID volumes.  Today, we are at about 90%. 

b.     This time last year, the sector was striving to rebuild its ranks, after losing about a third of its pre-COVID workforce. Today, the air transport sector has restored its workforce to close to 95% of pre-COVID numbers. 

c.     This recovery would not have been possible if not for the collective efforts of the OneAviation community. I thank our workers for their contributions and hard work, as well as our tripartite partners from the industry and unions for your trust and support, which are essential for our Changi air hub to climb out of the lows of the COVID-19 pandemic, and to bounce back and emerge stronger in a very short period. 

d.     Last evening, I met with some union leaders from the SATS Workers’ Union to thank them personally, listen to their feedback and share with them our plans for the future development of Changi Air Hub. 

e.     I look forward to also meeting our sisters and brothers from the other aviation unions in my MOT capacity, and to visit the aviation sector companies to engage our industry leaders.

3.     By working together as one aviation community, supported by our strong tripartite partnerships, I am confident that passenger traffic at Changi will make a full recovery by the first half of 2024, or maybe even earlier. 

4.     The skies ahead are bright for the aviation sector. The International Air Transport Association (IATA) expects 2.5 billion additional passenger journeys by 2040 in the Asia Pacific region alone, making it the fastest-growing region at a CAGR of 4.5% annually. 

5.     As we look ahead to the opportunities that await, we must also keep our focus on tackling the challenges we will face. Let me highlight three key ones. 

a.     First, we will not be able to continue growing our workforce as we had in the past due to our ageing population. The aviation sector will have to contend with an increasingly tight local labour market, together with other sectors in the Singapore economy. We will also have to adapt our workplaces and work practices to a rapidly ageing workforce. By 2030, almost 1 in 4 Singaporeans will be aged 65 years and over, compared to just 1 in 10 back in 2010. This will be especially challenging for certain roles in the aviation sector, which involve manual work that is physically demanding. 

b.     Second, we cannot grow without taking practical steps to reduce our carbon emissions. Today, air travel accounts for 2% of global emissions. However, as the impact of climate change becomes more immediate and severe, all sectors would have to reduce their emissions. The aviation sector will similarly face increasing pressure to decarbonise.  
Hence, we need to work together with like-minded partners to find pragmatic and meaningful solutions to enable the aviation sector to reduce its emissions over time. 

c.     Third, competition from neighbouring and regional air hubs will continue to intensify and we must never take our current hub status as a given. Technology is progressing at a blistering pace, including advances in Artificial Intelligence. While this will open up new opportunities and possibilities, it will also make the competition a lot keener as countries and businesses harness the potential of AI to raise their competitiveness. Our ability to adapt and transform with technology will determine if we remain a premier air hub or lose our position to competitors. 

6.     In tackling these challenges, it is critical that we leverage on Singapore’s trusted reputation and our strong tripartite partnerships to ensure that our aviation sector has both the capacity for growth and the capabilities to overcome the challenges ahead.

Air Transport ITM 2025

7.     On this note, I am pleased to announce the launch of the Air Transport ITM 2025. The Air Transport ITM outlines the key priorities and strategies to transform Changi into a future-ready global aviation hub, while preparing ourselves to overcome the challenges the sector will face as we expand our operations. 

8.     The ITM contains 4 key strategies to support innovation, productivity and workforce development in the air transport sector. 

Strategy 1. Building a Safe and Sustainable Air Hub

9.     First, we will build a safe and sustainable air hub. Safety is the bedrock of air travel. As more planes and passengers take to the skies, the complexity and challenges of ensuring safe operations will also grow. We must therefore strengthen our aviation safety regime, culture and leadership. 

10.    Last year, the Civil Aviation Authority of Singapore (CAAS) released its first National Aviation Safety Plan to address key risks and outline the actions that the industry will take to maintain aviation safety. CAAS will also deepen its collaboration with the Asia Pacific Centre for Aviation Safety to provide the industry and regulators with a deeper understanding of safety challenges, and build strong capabilities in technology, data analytics and safety management processes.

11.    Sustainability will also be central to the growth of the sector.  Singapore is committed to build a sustainable air hub and will actively support the efforts of the International Civil Aviation Organization (ICAO) to reduce emissions from international transport, as well as to realise our own vision for net-zero emissions by 2050.  We will find practical ways to achieve this goal, while keeping a close watch on the competitiveness and connectivity of our Air Hub.  

12.    We have kickstarted initiatives on various fronts. 

a.     At the airport, we have started our transition to cleaner energy sources. We are increasing on-site generation of solar power at Changi. We have also set targets for our airside vehicles to convert to cleaner energy. 

b.     For our airlines, the uptake of Sustainable Aviation Fuel (SAF) will be key to reducing emissions. Since last year, CAAS has partnered with Temasek Holdings, Singapore Airlines, Changi Airport Group, Neste and ExxonMobil to pilot the use of SAF at Changi Airport. Under the pilot, 1.25 million litres of SAF were blended with conventional jet fuels. This is expected to reduce about 2,500 tonnes of carbon emissions. We are also studying the implementation of a structured offtake mechanism for SAF at Changi.

c.     In air traffic management, CAAS has been actively trialling operating concepts and technologies to optimise flight operations, thereby reducing fuel burn and emissions. For example, in June this year, CAAS and the air navigation service providers of Japan, Thailand and the US successfully conducted the world’s first-ever multi-regional trajectory-based operations (TBO) demonstration flight. 
We see the potential in TBO to fundamentally change how air traffic is managed in future, enabling air travel to be safer and more sustainable.

d.     To support green initiatives across the airport, airline and air traffic management domains, CAAS is working on a Sustainable Air Hub Blueprint. The blueprint will chart strategies to drive ecosystem-wide decarbonisation efforts and ensure that the sector continues to do our part in the global fight against climate change. This requires a collective effort from all tripartite partners. 

Strategy 2. Transforming Airport Operations

13.    Second, we will transform our airport operations by accelerating the adoption of automation and technology, and equip our workers with the necessary skills to take on new job roles.

14.    To make the passenger experience more seamless, we will press ahead with the use of biometrics and digital solutions. Starting from 2024, Singapore residents and visitors will progressively be able to clear immigration checkpoints without having to use passports. Hopefully this will make this smoother, quicker, more seamless.

15.    CAAS also recently launched the 5G testbed at Changi Airport’s Terminal 3 airside, in partnership with Singtel. This testbed environment provides airside users a unique opportunity to trial and explore new digital solutions which require high-speed connectivity with ultra-low latency, such as remote operations of vehicles, and video analytics. This can also open up new opportunities for companies, such as tech start-ups, to participate in designing apps and providing solutions. I hope this will benefit our workers too, through productivity and workflow improvements to mitigate our manpower constraints. 

16.    Changi Airport Group and the ground-handling agents, with the support of CAAS, are also working on enhancing the efficiency of airport operations through automation. There are on-going trials for autonomous vehicles for baggage transport and cargo that are progressing well. We expect a small fleet deployment at the airport within the next two years. And for the very first time, we have brought these autonomous vehicles out of the airport, right here to the OneAviation Careers fair, so that the public can see the behind-the-scenes innovations that support our Changi experience.

Strategy 3. Innovating at the Forefront of Aviation

17.    Third, we will pursue innovations at the forefront of aviation, to build up our capacities and capabilities in new growth areas.

18.    One such area is air traffic management. With the growth in air travel, there is a global consensus that we need to develop capabilities and build capacity to better manage air traffic, while ensuring safety and efficiency. Aside from developing new concepts of operations for Air Traffic Management such as TBO which I earlier mentioned, CAAS will also develop the next generation of Air Navigation Services systems and continue to invest in Air Traffic Management innovations, to support future operations.

19.    Another area is in unmanned systems. To further develop our capabilities and thought leadership in this field, CAAS will bring together fellow regulators and work with representatives from the industry and unions to jointly develop policies and regulations. We will introduce unmanned systems traffic management systems to facilitate safe drone operations. CAAS will also work with the wider public to ensure the safe and responsible use of unmanned aircraft in Singapore.

Strategy 4. Future-ready and Resilient Workforce

20.    Last but not least, we must double down on workforce transformation. Our workers are our most important asset – from the ground handlers who provide a smooth airport experience, to the pilots and cabin crew who make us feel at home 30,000 feet above the ground, each and every worker plays an important role in the success of our aviation sector. This is why NTUC believes that “Every Worker Matters”! 

21.    Our aim is to transform our workforce to one that is future-ready and resilient, so that we provide our workers with a strong sense of purpose, a fulfilling career and a deep sense of belonging to the Changi OneAviation community.

22.    Together with our employers and unions, we will continue to invest in upskilling and reskilling our aviation professionals in new areas of competency. 

a.     This will ensure that their skills remain up-to-date amidst a fast-changing operating environment. 

b.     We will also aim to leverage new technologies to support our older workers, such as helping them to learn new skills, redesigning existing jobs and using robots to make the work physically easier to perform, and using artificial intelligence and other technology tools to augment human workers and amplify their productivity and output. 

23.    Through these efforts, we want to ensure that the sector continues to grow and provide quality jobs for Singaporeans, including young entrants, mid-career workers and senior workers. We need everyone who is interested in the aviation sector to join us.

24.    We also want to attract more Singaporeans to join this dynamic growth sector:

a.     CAAS will be signing three MOUs with the National Youth Council, Singapore Scout Association and Singapore University of Technology and Design (SUTD) later today. These MOUs will expand the range of platforms to reach out to youths, and raise awareness and interest to join the sector. 

b.     In tandem, CAAS and its industry partners will work with our institutes of higher learning to refresh the curriculum in schools, so that our youth are kept abreast of the latest developments, disruptions and prospects in aviation.

c.     I also hope that career fairs such as this one will help more Singaporeans understand the wide plethora of opportunities within the aviation sector, and provide a platform for employers to recruit talent. 

d.     I encourage you to speak to the various companies represented at this career fair, learn about the future of the aviation sector and the diverse and exciting careers on offer, and join our OneAviation community.

Conclusion

25.    Pre-COVID, the Changi air hub and its adjacent industries contributed over 5% of Singapore’s GDP and supported almost 200,000 jobs across the economy.  

a.     More than this, the Changi air hub is also Singapore’s gateway to the world, connecting us to family and friends miles away. 

b.     Changi Airport, Singapore Airlines, and their world-class service and experiences are also the pride and joy for Singapore and Singaporeans.

26.    As we emerge from the COVID-19 pandemic, this ITM will position our aviation sector to continue to provide good jobs for Singaporeans, contribute to the growth of our Singapore economy, and take our Changi air hub to greater heights.

27.    With more than 4,300 jobs to be filled over the coming year, the aviation sector is positioned for take-off and I welcome everyone to come onboard and join us on this exciting journey. 

28.    Thank you, and I wish you a wonderful and fruitful visit here at OneAviation Careers 2023.