Sustainable Aviation Buyers Alliance (SABA) released a request for proposal (RFP) to increase the supply of next-generation sustainable aviation fuel (SAF), including power-to-liquids and those using advanced bio-based feedstocks. This first-of-its-kind aggregated SAF procurement is designed to deliver a much-needed boost to scalable long-term SAF production capacity. By focusing the RFP on next-gen fuels, SABA seeks to channel investment toward SAF with fewer feedstock constraints than today’s commercially available fuels, enabling more effective long-term decarbonization of the aviation sector.
SABA members include over 35 companies from a broad range of sectors, including finance, technology, media and entertainment, business consulting, and others seeking to reduce their aviation emissions through investment in sustainable aviation fuel. Through this RFP, SABA will facilitate 5 to 10-year forward purchasing commitments on behalf of its members at sufficient volumes to support final investment decision (FID) for a new next-generation SAF production facility.
“The SAF market is growing rapidly but the technologies we need to fully decarbonize the aviation sector are still in their infancy,” said Kim Carnahan, CEO of the Center for Green Market Activation and head of SABA Secretariat. “Investment needs to happen now if we want these technologies to scale post-2030 and keep the aviation sector on track to meet its long-term net zero goals.”
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SAF represents the best near-term opportunity to decarbonize aviation as it is a drop-in fuel that can be used in today’s aircraft fleet. Despite significant recent growth, SAF still makes up less than 1% of total aviation fuels used today with the market dominated by SAF made from traditional feedstocks, such as waste oils, that face limitations to scale beyond 2030. SAF with the greatest scalability potential, using feedstocks such as renewable hydrogen, agriculture and forestry residues, and municipal solid waste, is only a small portion of the currently available SAF. Without focused investment today, these fuels may not be available in the quantities needed to meet global decarbonization objectives.
SABA is working with its corporate partners to generate the demand signal needed to give advanced SAF producers confidence to scale production. Through a book and claim model, corporate customers will be purchasing sustainable aviation fuel certificates (SAFc) that allow them to invest in SAF and capture the environmental benefits, even if the fuel does not flow directly into the planes they fly on. The travelers’ investment allows them to make a greenhouse gas emissions reduction claim on their climate disclosures, while the physical SAF flows to an aircraft operator.
“Book and claim is the bridge between the aviation industry’s sustainable fuel ambitions and scalable real-world production – and SABA is helping build it,” said Bryan Fisher, Managing Director at SABA co-founder RMI. “By mobilizing corporate demand and catalyzing investment in cutting-edge fuel production, we can fast-track innovation, expand high-integrity supply, and deliver the climate results the aviation sector urgently needs.”
SOURCE: PRNewswire