‘Voluntary SAF progs by airlines to provide value proposition for cos in cutting carbon footprints’

New Delhi: Voluntary sustainable aviation fuel programmes by airlines will provide a value proposition for corporates in reducing their carbon footprints, and feedstock collection for producing the fuel will also bring in collateral socio-economic benefits for India, according to a senior Airbus official.

European aircraft maker Airbus, which has a significant presence in India, has also pitched for bringing corporates’ spending on the airlines’ voluntary Sustainable Aviation Fuel (SAF) programmes under the government’s CSR (Corporate Social Responsibility) framework.

Globally, the requirement for SAF is estimated at 183 million tonnes by 2040.

Julien Manhes, Head of SAF and CDR (Carbon Dioxide Removal) Development, Sustainability Organisation at Airbus, said a voluntary scheme for SAF will be an “opportunity for airlines to differentiate and to propose something new to their corporate customers first, then to cargo customers and eventually to private customers”.

India is one of the world’s fastest-growing civil aviation markets, and Indian carriers have placed orders for more than 1,700 aircraft. As part of sustainability efforts, the government will soon be coming out with a SAF policy.

Elaborating on the value proposition of having the voluntary SAF programmes, Manhes told PTI in an interview in the national capital that the idea is about selling business travel experience with not only good seats and meals but also with a “lower carbon footprint”.

In the context of the airlines’ grouping, IATA’s view that SAF blending mandates without incentives is a “no-go area”, Manhes opined that creating voluntary demand for SAF will not result in market distortion.

He observed that airlines are reluctant to opt for SAF schemes without incentives because they will incur more costs as the fuel itself comes at a higher cost.

“Voluntary demand is not a market distortion. It is an add-on,” he noted.

India aims to have 1 per cent blending of SAF in jet fuel by 2027, 2 per cent blending by 2028 and 5 per cent blending by 2030. SAF can be used as a drop-in fuel in Aviation Turbine Fuel (ATF), which powers

aircraft.