IATA Calls on Governments to Support Industry Move to SAF
The International Air Transport Association (IATA) called on governments worldwide to support the development of SAF as a critical step to achieving its target to cut net emissions to half 2005 levels by 2050. Government stimulus packages could help promote SAF through direct investment, loan guarantees and incentives for the private sector, as well as regulations that channel feedstock towards hard-to-abate sectors such as aviation rather than to other low-carbon transport industries. The aim of stimulus funds would be to create a competitive market. Currently SAF is on average between 2-4 times more expensive than fossil fuels with current global production of just 0.1% of the total amount of aviation fuel consumed by the industry. IATA estimates that stimulus investments could help boost SAF production to the 2% (6-7 billion litres) needed to trigger a potential tipping point to bring SAF to competitive price levels against fossil fuels.