https://www.reuters.com/sustainability/climate-energy/sustainable-aviation-fuel-entrepreneurs-poised-takeoff-2023-06-07/
Sustainable aviation fuel (SAF) production reached at least 300 million liters in 2022, a 200% increase from the previous year, according to IATA.
However, this is still a small fraction (0.1-0.2%) of the total aviation fuel supply globally, and the industry needs 450 billion liters per year by 2050 to meet its net-zero targets.
DHL aims to use 30% SAF for all air transport by 2030 and has signed deals with BP and Neste to provide over 800 million liters of SAF in the next five years.
Biofuel refinery capacity is expected to grow by over 400% by 2025, with companies like Neste expanding production and major oil companies entering the SAF market.
The main challenge is the availability of feedstock, as SAF is currently produced from bio-based feedstocks like waste oils, but many countries lack a domestic supply or the infrastructure to collect them.
Companies are exploring alternative feedstocks such as lignocellulosic raw materials, municipal waste, algae, and camelina oil.
LanzaTech has developed a process to produce SAF from any waste stream using gas fermentation technology, which can be implemented globally with different feedstocks.
Incentives and tax credits in the United States are driving SAF production, with the Biden administration aiming to scale up production to 3 billion gallons in 2030 and 35 billion gallons in 2050.
Optimism exists regarding the ability to meet SAF production targets, and stronger policy support and investment in renewable feedstocks are expected to accelerate progress.
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