WTTC Tells Governments to ‘Get Serious’ About Sustainable Aviation Fuel

Photo source: Lufthansa Group.

The World Travel & Tourism Council (WTTC) is calling on governments worldwide to “get serious” and offer incentives that encourage the production of sustainable aviation fuel (SAV) and to set targets for adequate quantities in order to meet Net Zero targets.

Currently, SAF production rates cannot meet the demand and prices remain high despite the recent exponential increase in production, said the global tourism body.

“The demand for SAF has never been higher, airlines all over the world want to use SAF and have used every molecule ever made. However, current SAF production only meets 0.1 percent to 0.15 percent of requirement, despite a 200 percent increase in production in 2022 vs 2021. This leaves a massive gap that can only be filled through rapid and sustained investment,” said WTTC President and CEO Julia Simpson.

WTTC President and CEO Julia Simpson. Photo source: WTTC.

As part of efforts to address the issue, the WTTC is calling on governments to introduce strong incentives including tax credits, grants or other financial tools to encourage investment in SAF production; work with the sector to set ambitious SAF production targets; and to coordinate actions through the International Civil Aviation Organization (ICAO) to ensure global uniformity in SAF regulations, sustainability standards, procedures, and organization.

In this direction, the WTTC cites the example the US incentive program which includes tax incentives for SAF production.

The WTTC stresses that without required quantities of SAF, the aviation sector will not be able to decarbonize on a scale that will allow it to reach Net Zero by 2050.

“At today’s prices, SAF is on average three to five times more expensive than traditional fossil fuels. Governments must address this cost disparity by providing financial support and incentives to make SAF more accessible and affordable. Without those targets and without those incentives, the sector cannot decarbonize,” said Simpson.

“The G7 leaders have an opportunity this week to deliver critical leadership on this issue,” she added.

The International Air Transport Association (IATA), which launched a new policy aimed at accelerating SAF production, echoed the WTTC.

Meanwhile, the WTTC in partnership with ICF released a white paper which covers the impact and benefits of SAF for tourism destinations around the world and sets out three critical actions destinations are advised to undertake to address the challenge.