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Sustainable Aviation Update

22 July 2024

Proposing MP
Sheffield Heeley
Type
Written Ministerial Statement
Department
Department for Transport

At a Glance

Issue Summary

The statement discusses the introduction of a Sustainable Aviation Fuel (SAF) Mandate starting in 2025 as part of efforts to decarbonise air travel.

Action Requested

Subject to Parliamentary approval, the government will introduce a SAF Mandate beginning January 1, 2025, increasing from 2% of total UK jet fuel demand to 10% by 2030 and then to 22% by 2040. The mandate includes buy-out mechanisms and a revenue certainty mechanism for investors.

Key Facts

  • Sustainable aviation fuel (SAF) emits 70 per cent fewer greenhouse gas emissions than fossil jet fuel.
  • The SAF Mandate will start from January 1, 2025.
  • From 2040 onwards, the obligation remains at 22% until greater certainty regarding SAF supply is established.
  • The mandate aims to deliver emission reductions up to 2.7 MtCO2e in 2030 and up to 6.3 MtCO2e in 2040.
  • A buy-out mechanism for both the main and power-to-liquid obligations is set at £4.70 and £5.00 per litre of fuel, respectively.
  • The SAF Mandate will add over £1.8 billion to the economy and create over 10,000 jobs by 2030.
Assessment & feedback
Summary accuracy