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Sustainable Aviation Fuel Bill 2025-06-11
11 June 2025
Lead MP
The Secretary of State for Transport Heidi Alexander
Debate Type
Ministerial Statement
Tags
EconomyClimate
Other Contributors: 40
At a Glance
The Secretary of State for Transport Heidi Alexander raised concerns about sustainable aviation fuel bill 2025-06-11 in the House of Commons. A government minister responded. Other MPs also contributed.
How the Debate Unfolded
MPs spoke in turn to share their views and ask questions. Here's what each person said:
Government Statement
Today, the Government is determined to deliver a sustainable aviation sector as part of its national renewal. The Sustainable Aviation Fuel Bill aims to reduce carbon emissions associated with air travel while supporting economic growth and international connectivity. Key measures include a £63 million investment in the advanced fuels fund and a revenue certainty mechanism that guarantees strike prices for SAF producers, funded by a levy on aviation fuel suppliers. This will boost production, creating up to 15,000 green jobs and contributing £5 billion annually to the economy. The mandate targets 10% SAF in the fuel mix by 2030 and 22% by 2040. Despite concerns over increased emissions from airport expansions like Heathrow, the government asserts that these decisions align with legal climate change targets. Overall, this Bill seeks to future-proof aviation while promoting green flight.
Siân Berry
Green
Brighton Pavilion
Question
Does the Secretary of State agree that demand management is crucial for cutting emissions and should public money be raised from frequent flyers?
Minister reply
The hon. Lady's view on demand management differs fundamentally because aviation demand continues to grow, and it is our moral responsibility to reduce carbon emissions associated with increased flights.
Rachel Hopkins
Lab
Luton South and South Bedfordshire
Question
Can the Bill also lead to quieter flights as airspace modernisation progresses?
Minister reply
My hon. Friend is correct; airspace modernisation can indeed result in quieter, cleaner, and quicker flights.
Monica Harding
Lib Dem
Esher and Walton
Question
Given the SAF mandate's targets, should Heathrow expansion be delayed until non-sustainable fuel usage is further reduced?
Minister reply
The Government has ensured that Heathrow expansion models comply with legal climate change targets. The mandate alone isn't sufficient; additional measures like airspace modernisation and new aircraft technologies are necessary to bring down emissions.
David Davis
Con
Goole and Pocklington
Question
How will the strike price mechanism address producers' concerns about input in setting prices?
Minister reply
The Government will work closely with industry on detailed design to ensure a workable proposition for producers.
Julian Lewis
Con
New Forest East
Question
How will the Bill bridge the cost gap between sustainable aviation fuels and conventional jet fuel?
Minister reply
The aim is to build investor confidence through a revenue certainty mechanism, which will support more supply and lower prices for sustainable aviation fuels.
Ruth Cadbury
Lab
Brentford and Isleworth
Question
The MP thanks the Secretary of State for her speech and welcomes the introduction of the Bill, which aims to decarbonise the aviation sector. However, she raises questions about waste management in relation to SAF production and its economic impact, particularly regarding US-UK trade agreements and the challenges they pose for our biofuel industry.
Minister reply
The Minister responds by addressing Ruth Cadbury's concerns regarding waste management and US-UK trade agreements. He highlights that the Government will work closely with businesses and industries to ensure a smooth transition towards producing SAF, taking into account environmental considerations and economic impacts.
Paul Kohler
LD
Wimbledon
Question
While supporting the Bill, questions remain regarding the scrutiny of the mechanism and international alignment in regulatory standards for SAF. How will the Government ensure adequate oversight?
Minister reply
We understand the need for flexibility due to the early stage of SAF technology but also recognise the importance of parliamentary scrutiny. Regular updates on progress and necessary adjustments will be provided, alongside closer collaboration with international partners like the EU to align regulations.
Sadik Al-Hassan
Lab
North Somerset
Question
How does this Bill support regional economic growth, particularly in constituencies heavily reliant on aviation and aerospace industries?
Minister reply
The revenue certainty mechanism will provide the necessary investment security to scale up SAF production, creating jobs and driving local economies. Bristol airport's leadership in SAF usage is a testament to the positive impact of such initiatives.
Blake Stephenson
Con
Mid Bedfordshire
Question
How can we ensure that airport expansion happens sustainably while meeting climate targets, particularly for rapidly expanding regional airports like London Luton?
Minister reply
We are working closely with the Environmental Audit Committee to investigate sustainable expansion options. Sustainable aviation fuels play a critical role in balancing economic growth with environmental responsibility.
Robert Jenrick
Con
Mid Bedfordshire
Question
Will the Minister reflect on our global market position, explain how the mechanism compares with other approaches, and give an assurance that measures in the Bill will be enough to avoid UK aviation industry needing to import SAF from abroad?
Robert Jenrick
Con
Mid Bedfordshire
Question
Will the Minister consider the merits of including, in this Bill or elsewhere, a requirement for Secretary of State to provide local authorities with guidance on how they can take advantage of opportunity to help in national effort to scale up production?
Robert Jenrick
Con
Mid Bedfordshire
Question
Reflecting on fact that costs of Bill come on top of increase to air passenger duty, will the Minister provide assurance that Bill will not clobber our hard-working constituents with yet higher prices when they jet off on family holiday?
Baggy Shanker
Lab/Co-op
Derby South
No extracted contribution text available for this contributor yet.
Luke Taylor
LD
Sutton and Cheam
No extracted contribution text available for this contributor yet.
Sally Jameson
Lab/Co-op
Doncaster Central
No extracted contribution text available for this contributor yet.
Moray West, Nairn and Strathspey
Question
The SNP welcomes the Bill but highlights that Scotland’s SAF progress has been held back by inaction on funding for a Scottish carbon capture cluster. How will the Government ensure the full detail is rapidly made clear to inject pace into the process?
Minister reply
We recognise the importance of the Scottish carbon capture, usage and storage (CCUS) cluster and are committed to providing long-overdue funding to support its development. The Bill sets out a framework for sustainable aviation fuel production which will be crucial in supporting Scotland's ambitions.
Euan Stainbank
Lab
Falkirk
Question
I welcome the legislation but am concerned about the risk of relying on cheap Chinese imports. How can we ensure that investment in Grangemouth is accelerated to avoid this risk?
Minister reply
The Government recognises the importance of supporting sustainable aviation fuel production and has committed £200 million from the national wealth fund to support projects like those in Grangemouth. We will work closely with industry partners to expedite these investments.
Question
Industry concerns about a nine-month delay in private law contract confirmation and the need to accelerate Project Willow proposals have been raised. There are questions regarding how the Bill intersects with proposals for SAF at Grangemouth, including potential delays to the HEFA cap.
Lillian Jones
Lab
Kilmarnock and Loudoun
Question
Concerns about the impact of the SAF mandate on the wood panel industry in terms of market distortions and potential job losses were raised. She urged Ministers to maintain safeguards, uphold exclusions for virgin and recyclable wood from eligibility, enforce waste hierarchy principles robustly, and ensure transparency mechanisms.
Alice Macdonald
Lab/Co-op
Norwich North
Question
Emphasis was placed on the potential for the east of England to become an innovation hub for sustainable aviation with significant economic and job creation benefits. The focus was on supporting SAF producers through a guaranteed price mechanism, alongside airspace modernisation and low-emission aircraft initiatives.
Brian Leishman
Lab
Alloa and Grangemouth
Question
The closure of the Grangemouth refinery due to private capital decisions was criticised, with a call for government intervention similar to that seen in Scunthorpe. Emphasis on the need for Government ownership stakes in future industries at Grangemouth was highlighted.
Chris Vince
Lab/Co-op
Harlow
Question
Carers Week wishes were shared, but no specific questions about SAF mandates or industrial impacts were raised.
Wolverhampton North East
Question
The hon. Member welcomes the Bill and highlights Collins Aerospace in her constituency, which develops components and systems for SAF flights. She asks if the Minister agrees that this supports both the green transition and industrial future.
Minister reply
Yes, I agree with my hon. Friend's point about Collins Aerospace’s role in enabling 100% SAF flight. The Bill is important for climate change mitigation and job creation opportunities.
Amanda Hack
Lab
North West Leicestershire
Question
The UK has a world-class aviation sector that the Chancellor has invested in, including Doncaster Sheffield airport. East Midlands airport provides huge benefits to her local economy and is a key hub for cargo transportation. She asks about transitional arrangements to ensure SAF availability for airlines like Jet2 as they transition towards decarbonisation.
Minister reply
The revenue certainty mechanism will provide the necessary price guarantees for producers, increasing investor confidence in SAF production and enabling airlines such as Jet2 to transition smoothly towards meeting mandated mix targets.
Graeme Downie
Lab
Dunfermline and Dollar
Question
Aviation is a critical part of the national story, including economic reliance on maritime and aviation sectors. He highlights Edinburgh airport's importance in his constituency for product transportation and tourism. The Minister is thanked for pursuing regulatory changes to modernise aviation.
Minister reply
The SAF mandate has been introduced quickly following office-taking, obligating companies supplying fuel to airlines operating out of the UK to incrementally increase SAF usage or pay a buy-out fee. This commitment will be crucial in making the UK a world leader in this technology and creating jobs.
Luke Myer
Lab
Middlesbrough South and East Cleveland
Question
The Bill will give investors clarity, producers confidence and communities a sense of job security. In Teesside, Alfanar is already invested £2.5 billion in the region with plans for a new plant creating 2,300 construction jobs and 300 permanent jobs. Will the Minister engage with DESE and Net Zero on carbon capture track projects to facilitate final investment decisions before the Bill's full legislative journey?
Minister reply
The Government will consider moving the start date for the revenue mechanism forward to allow projects to get started as quickly as possible, ensuring value for money.
Chris McDonald
Lab
Stockton North
Question
Does the Minister agree that sustainable aviation fuel is crucial for decarbonising air travel and job creation in industrial communities? With third-generation and fourth-generation SAF opening up new opportunities, will Billingham become a European centre for this industry?
Minister reply
The Government recognises the importance of SAF for decarbonisation and economic growth. We are committed to scaling up the industry through consistent policy support.
Lewis Atkinson
Lab
Sunderland Central
Question
In Sunderland, Wastefront has a £100 million investment creating 100 jobs on the River Wear. Does the Minister agree that this Government’s policy is under threat from Opposition parties’ policies?
Minister reply
The Government's policy aims to create new jobs and support industrial communities. We will continue to oppose any ideological adherence to anti-net zero policies.
Cheltenham
Question
Will the Minister outline their level of certainty regarding the costs to taxpayers? Is there confidence that the levy imposed on fuel suppliers will not lead to significant rises in air fares?
Minister reply
We are committed to ensuring that the £1.50 variance is a reality, not just a hope or dream. We have conducted extensive studies and have high confidence that this levy will not result in substantial increases in ticket prices.
Question
Will the Minister congratulate innovators such as my constituent James Hygate, who was recently awarded an OBE for his work on green fuels? Over genteel tea and cake—as the House can imagine, this happens all the time in Cheltenham—he told me of his plans to turn human faeces into SAF. He is an innovator at the leading edge, and he says that the Minister might be able to work with his friends in the Department for Environment, Food and Rural Affairs to solve some of the problems that we have with sewage in our rivers, by taking it out at source.
Minister reply
I thank the hon. Member for his contribution and join him in thanking James Hygate OBE for his work in this area. On the serious point about waste, I sit on the small ministerial group for the circular economy. It is a big part of what this Government are trying to do, and we will see how that work progresses.
Jim Shannon
DUP
Strangford
Question
We cannot help but be excited about the Bill because of its potential to deliver. The Minister is a good friend of us in Northern Ireland, and a good friend of all of us in this Chamber and across this great nation. There are innovative people in Northern Ireland who have the technology, and they wish to play their part. Is it the Minister’s intention to ensure that everyone across this great United Kingdom of Great Britain and Northern Ireland has the opportunity to feed into SAF and to gain the benefit from it?
Minister reply
I am always delighted to answer questions from the hon. Gentleman, who represents a place that I love dearly. We have refineries in Belfast. I spoke to a major chief executive whose family emigrated to Canada from Belfast and who is very fond of the city. We expect him to talk to his companies about applying for the contracts when we eventually let them do so, and that will be key.
Gareth Snell
Lab/Co-op
Stoke-on-Trent Central
Question
Stoke-on-Trent does not have an airport, but we do use Manchester airport quite a lot, so while the Minister is sitting next to the Transport Secretary on the Front Bench, could he put in a word for a direct train link from Stoke to Manchester airport, so we can all enjoy his airport as much as he does?
Minister reply
Personally, I disagree with my hon. Friend, because I think Stoke has a great airport—it is in my constituency, and it is called Manchester airport.
Doncaster Central
Question
What a doughty champion for Doncaster Sheffield airport my hon. Friend the Member for Doncaster Central is.
Minister reply
It was great to hear the Chancellor mention it in her statement today.
Falkirk
Question
My hon. Friend the Member for Falkirk talked with passion about Grangemouth near his constituency.
Minister reply
In direct answer to his question, we have no plans to review the HEFA cap. This is about security in a fragile geopolitical situation and also about competitiveness.
Norwich North
Question
My hon. Friend the Member for Norwich North talked about the jobs and apprenticeships that go with it.
Minister reply
I was glad to meet her recently and I hope to visit Norwich in the near future.
Chris Vince
Con
Harlow
Question
The hon. Member for Harlow raised concerns about local elections and Stansted airport.
Minister reply
I concur with my hon. Friend's comments on supporting the aviation sector, including his constituency's airport.
Amanda Hack
Lab
North West Leicestershire
Question
The hon. Member for North West Leicestershire highlighted the importance of East Midlands Airport to freight.
Minister reply
I have engaged with the freight industry on how we can grow our freight sector and will attend her airport’s 60th birthday celebrations if possible.
Graeme Downie
SNP
Dunfermline and Dollar
Question
The hon. Member for Dunfermline and Dollar mentioned the importance of sustainability in aviation.
Minister reply
I agree that aviation will be a major emitter by 2040, which is why we must act now to support SAF plants and sustainable fuel production.
Luke Myer
Lab
Middlesbrough South and East Cleveland
Question
The hon. Member for Middlesbrough South and East Cleveland discussed carbon capture at Stanlow.
Minister reply
I remind him that the Prime Minister recently announced £22 billion of Government money to research carbon capture and technology.
Chris McDonald
Lab
Stockton North
Question
The hon. Member for Stockton North talked about hydrogen, wind, solar and clean energy.
Minister reply
I commend his comments on the importance of clean energy in supporting sustainable aviation.
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