THE European Union has offered to subsidise airline purchases of more than 200 million litres of sustainable aviation fuel to encourage carriers to swap kerosene for cleaner alternatives, Reuters calculations show.
The calculations, based on European Commission data, suggest that the subsidies could trigger a significant boost to airline demand for sustainable aviation fuels (SAF), given the volume equates to about 15 per cent of global SAF production.
Global SAF output last year totalled 1.3 billion litres, according to airline industry association IATA.
The eu has earmarked revenue from the sale of 20 million carbon emissions permits to help airlines to cover the price gap between conventional kerosene and more expensive SAF on flights within Europe.
Reuters calculations showed these subsidies would cover purchases of up to 216 million litres of e-fuels- synthetic fuels made using captured CO2 emissions - or as much as 2.6 billion litres of biofuels.
The EU subsidies cover up to six euros per litre for e-fuels and 0.5 euros per litre for biofuels.
Aviation is among the hardest sectors to decarbonise, with zero-emission aircraft not expected this decade.
SeaNews Turkey
The calculations, based on European Commission data, suggest that the subsidies could trigger a significant boost to airline demand for sustainable aviation fuels (SAF), given the volume equates to about 15 per cent of global SAF production.
Global SAF output last year totalled 1.3 billion litres, according to airline industry association IATA.
The eu has earmarked revenue from the sale of 20 million carbon emissions permits to help airlines to cover the price gap between conventional kerosene and more expensive SAF on flights within Europe.
Reuters calculations showed these subsidies would cover purchases of up to 216 million litres of e-fuels- synthetic fuels made using captured CO2 emissions - or as much as 2.6 billion litres of biofuels.
The EU subsidies cover up to six euros per litre for e-fuels and 0.5 euros per litre for biofuels.
Aviation is among the hardest sectors to decarbonise, with zero-emission aircraft not expected this decade.
SeaNews Turkey
