DHL has partnered with Neste to provide 9.5 million liters of Sustainable Aviation Fuel (SAF) in Singapore from 2025 to 2026. This initiative aims to help the aviation industry reduce carbon emissions and achieve environmental goals. As a result, the use of SAF in DHL's flights in Singapore will reach 40%.
The UK has introduced a Revenue Certainty Mechanism (RCM) to incentivize the production of Sustainable Aviation Fuel (SAF), but the funding source is controversial. Airlines suggest utilizing funds from the Emission Trading System (ETS) to finance the RCM. This approach would alleviate the financial burden on airlines while simultaneously promoting the development of the SAF industry, ultimately facilitating the green transition of the aviation sector. This proposal aims to create a win-win scenario by leveraging existing carbon pricing mechanisms to accelerate the adoption of sustainable fuels.
Improving fuel efficiency is crucial for African airlines. IATA offers data tools, best practices, and consulting services to support this goal. New technologies and flight optimization software play a significant role in energy conservation. Taking action is essential to optimize fuel efficiency and reduce operational costs. By implementing these strategies, African airlines can enhance their sustainability and competitiveness in the global market.
Sustainable Aviation Fuel (SAF) is crucial for the aviation industry to achieve net-zero emissions. This article defines SAF, highlights its advantages and current development status, and outlines IATA's vision. It emphasizes the importance of policy drivers and provides a SAF action guide for businesses. Furthermore, the article lists relevant documents, resources, and industry events related to SAF, aiming to help companies seize SAF opportunities and achieve sustainable development. It serves as a comprehensive overview for businesses looking to engage with SAF and contribute to aviation decarbonization.
This OAG On Air interview discusses the recovery of the Australian aviation industry and the application of Sustainable Aviation Fuel (SAF) in Asia. The analysis covers the impact of the pandemic and the challenges and opportunities presented by SAF, emphasizing the importance of international collaboration. It highlights the potential for SAF to contribute to a more sustainable aviation sector in the region as the industry rebounds from the pandemic. The interview also touches upon the specific hurdles and prospects within the Asian market for SAF adoption.
The IATA Fuel Quality Pool Program (IFQP) significantly reduces operational costs and improves fuel quality management by allowing airlines to share fuel testing reports and workload. The program offers three membership types: formal, associated, and passive. It also provides professional training and standardized testing procedures to ensure compliance. The IFQP is highly regarded by the supplier community for its contribution to fuel quality assurance and cost efficiency within the aviation industry. It promotes collaboration and standardization in fuel quality control.
IATA reports that the growth of Sustainable Aviation Fuel (SAF) production is hindered. Current policies have failed to effectively promote SAF production and application, leading to soaring costs. The mandatory requirements in the EU and the UK serve as negative examples. As e-SAF mandates approach, lessons must be learned to avoid repeating these mistakes. Regulators should promptly correct course and develop effective incentive mechanisms to promote the SAF industry and help the aviation industry achieve its sustainability goals. A focus on incentivizing production rather than solely mandating usage is crucial.
An OAG report reveals significant disparities in airline fuel efficiency, highlighting the need for more information for consumers to make environmentally conscious flight choices. The analysis demonstrates that factors like fleet composition and operational practices greatly impact fuel consumption. The article calls for collaborative efforts between the aviation industry and governments to advance green aviation, exploring viable solutions such as sustainable aviation fuels and carbon offsetting. Airlines may increasingly compete in the environmental arena, focusing on reducing their carbon footprint and promoting sustainable practices.
IATA has launched a fuel hedging course to help airlines master fuel cost management and risk mitigation strategies, ultimately improving profitability. The course aims to equip aviation professionals with the knowledge and tools needed to navigate volatile fuel markets and implement effective hedging programs. By understanding fuel hedging techniques, airlines can better control their largest operating expense and protect themselves from unexpected price fluctuations. This proactive approach to risk management can lead to greater financial stability and a competitive advantage in the aviation industry.
The green transition of the EU aviation sector faces challenges. While the ReFuelEU Aviation (RFEUA) regulation aims to promote Sustainable Aviation Fuel (SAF), monopolistic practices by fuel suppliers lead to high 'compliance fees' for SAF, significantly increasing airline costs. Logistical bottlenecks and the lack of global incentives further hinder SAF adoption, potentially obstructing emissions reduction targets. The high cost of SAF, driven by limited supply and market dynamics, poses a significant hurdle to the successful implementation of the RFEUA and the achievement of a sustainable aviation sector.
