United, JetBlue & Emirates Executives on the SAF Trilemma

The International Air Transport Association (IATA) has brought to light some uncomfortable home truths when it comes to sustainable aviation fuel (SAF).

This problem is threefold: producing SAF at a scale that meets growing demand, significantly cuts emissions and remains financially viable.

According to IATA, SAF could reduce the aviation sector's carbon emissions by up to 65% under its net zero strategy.

However, current production levels are nowhere near where they need to be. While SAF has been utilised in flights over the past few years, it has yet to reach full technological maturity.

Research and development teams are under substantial pressure to innovate effectively. Despite these efforts, IATA straightforwardly states that improvements are essential for the aviation industry to neutralise its carbon emissions by 2050.

The current state of SAF production

The IATA report indicates a milestone in global SAF production, reaching one million tonnes in 2024, which is double that of the previous year.

Yet, this production rate still falls short of the forecasted demand of 1.5 million tonnes and contributes just 0.53% to the total fuel consumption of the sector.

"SAF volumes are increasing, but disappointingly slowly," says Willie Walsh, Director General of the IATA.

"Governments are sending mixed signals to oil companies which continue to receive subsidies for their exploration and production of fossil oil and gas.

"And investors in new generation fuel producers seem to be waiting for guarantees of easy money before going full throttle."

Key challenges that hinder SAF production include limited options for feedstocks, the high cost of production, lack of infrastructure and policy barriers.

The limited availability of resources such as used cooking oils and biomass further complicates these production challenges.

Conor Madigan, CEO of Aether Fuels, suggests that exploring new forms of feedstock is crucial.

"A critical part of the solution is unlocking new forms of feedstock — waste carbon that can be economically turned into fuel and, importantly, is widely available enough to meet the huge demand of these industries," he explains.

The role of policies and collaborative efforts

United Airlines' Chief Sustainability Officer, Lauren Riley, acknowledges the limits in reducing the sector's environmental footprint.

"We’re essentially a hard-to-abate sector with limited options for reducing our environmental impact," she says.

A common solution recognised by IATA and industry leaders like Lauren is robust government policies.

The US Inflation Reduction Act, for example, has significantly influenced SAF research and development.

Equally vital is the need for collaboration in the pursuit of scaling SAF.

Sara Bogdan, Head of Sustainability at JetBlue, notes the importance of partnerships in growing the SAF market.

“While we’re taking the steps we can on our own to reduce emissions, we also recognise the airline industry can’t reach their goals alone and must continue to encourage the growth of the SAF market,” she explains.

Despite having established eight separate partnerships for current and future SAF supply, the demand for more affordable SAF persists.

The airlines taking proactive steps

Airlines alongside energy firms are actively addressing the challenges associated with SAF.

Notably, Emirates has teamed up with Shell Aviation to introduce SAF on flights departing from Heathrow Airport.

This initiative supports the airport's SAF Incentive Programme, which Adel Al Redha, Emirates’ Chief Operations Officer, views as a significant move to enhance SAF usage that is backed by actual demand and supply chain capabilities.

“London Heathrow’s SAF initiative also demonstrates credible action to encourage the scale up and use of SAF by airlines, building local production capabilities grounded in real demand, in addition to developing capacities across the supply chain to blend, handle and distribute SAF more widely,” he says.

JetBlue has further invested in SAF by supporting technological innovations and companies like Aether Fuels.

Amy Burr, President of JetBlue Ventures, believes in the potential of investments like Aether to expedite SAF production.

"We see their mission to unlock a broader range of SAF feedstock as a vital step on the road to net zero flying," she says.

The endeavours toward scaling up sustainable aviation fuel continue to unfold.

With ongoing collective efforts, SAF could herald not just an environmentally sustainable option but a solid alternative to fossil fuels, crucial for achieving broader ecological and economic goals.

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