Sustainable aviation fuel (SAF) is a key component in the efforts to reduce the carbon footprint of air travel. Compared to traditional jet fuel, SAF emits 70% fewer greenhouse gas emissions over its entire life cycle. This makes it a crucial element in the transition towards a more sustainable aviation industry.
Today, on July 22, 2024, the government has announced a significant step towards promoting the production and use of SAF in the UK. A bill will be introduced to support the production of sustainable aviation fuel, with a mandate set to begin on January 1, 2025, pending Parliamentary approval. This mandate will require a percentage of jet fuel demand in the UK to be replaced by SAF, starting at 2% in 2025 and gradually increasing to 22% by 2040.
The introduction of the SAF mandate is expected to have a positive impact on the aviation industry, the environment, and the economy as a whole. It is projected to contribute over £1.8 billion to the economy and create more than 10,000 jobs nationwide. Additionally, it will help reduce carbon emissions by up to 6.3 MtCO2e by 2040, providing a significant boost to decarbonization efforts.
The mandate will also encourage innovation in advanced fuels and the diversification of feedstocks to reduce reliance on limited resources. This includes setting a cap on the feedstocks used in the HEFA process, as well as introducing a separate obligation on power to liquid fuels starting in 2028. These measures aim to incentivize the production and use of SAF while ensuring a sustainable supply chain.
Furthermore, a revenue certainty mechanism will be implemented to support SAF producers looking to invest in new plants in the UK. This mechanism, along with the SAF mandate, will create a stable market for SAF, attract investment, and promote growth opportunities in the UK. It will also enhance energy security by securing a local supply of sustainable aviation fuel for UK airlines.
Overall, these initiatives mark a significant step towards achieving the government’s goal of driving economic growth and establishing Britain as a leader in clean energy. By promoting the use of sustainable aviation fuel, the UK is not only reducing its carbon footprint but also creating new opportunities for innovation and job creation in the green energy sector.