As airlines chase sustainability goals, securing Sustainable Air Fuel (SAF) is becoming key. Air New Zealand and Neste have signed an agreement for nine million litres of neat Neste MY Sustainable Aviation Fuel.
Air New Zeland Boeing 777 – Image, Economy Class and Beyond.
The deal represents the largest purchase of sustainable aviation fuel (SAF) from Neste by any airline outside North America and Europe for delivery before the end of 2024. It will be produced at Neste’s Singapore refinery, which expanded its SAF production capability last year.
The nine million litres of SAF will be blended with conventional jet fuel to meet the required specifications and supplied to Los Angeles International Airport between 1 April and 30 November 2024.
The SAF is expected to deliver a reduction of carbon emissions by up to 80% over the life cycle of the fuel compared to using fossil jet fuel, which includes its production as well as transport emissions.
In Quotes
Air New Zealand’s Chair Dame Therese Walsh said:
“Decarbonising Air New Zealand’s operations is essential for the airline’s long-term ability to connect New Zealanders to the world, as well as support the country’s trade and tourism sectors, and SAF is a key enabler of this”, says Walsh.
“Sustainable aviation fuel is currently the only solution to significantly reduce emissions from long haul flight, but it currently makes up less than 1% of the global fuel supply. For aviation to reach its net zero carbon emissions goals by 2050, the SAF industry will need to scale significantly.”
“While the SAF supply is small compared with the airline’s overall fuel use, it is nine times the size of Air New Zealand’s first shipment of SAF from Neste in 2022 and demonstrates growing cooperation between two like-minded organisations to advance the supply and use of SAF.
Alexander Kueper, Vice President of Renewable Aviation at Neste added:
“We are proud to support Air New Zealand’s decarbonisation focus and are looking forward to continuing working together with Air New Zealand and the New Zealand Government to reach their climate goals.”
Prime Minister Christopher Luxon of New Zealand concluded:
“It is a pleasure to be with the company as they reach another milestone.
“This collaboration is world-leading and I congratulate Dame Therese and Air New Zealand for their commitment to sustainable aviation,”
More SAF Drops in a fuel ocean
Buried at the bottom of the release was how much fuel Air New Zealand is expected to lift between 1 April to 30 November 2024.
That’s 850 million litres. Compared with the 9 million litres that Air New Zealand plans to lift from Neste, that’s a lift of about 1.05% of its fuel budget.
It shows that these efforts – whilst very much a first step, need much more intensification, with greater production as well as sourcing needed to feed the insatiable demand that the aviation industry has, as it seeks to go carbon neutral.
As well as the costs that will go along with it, as SAF can be much more expensive to source, compared to normal kerosene-based fuels.
But like most things in life, you have to start somewhere.
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