Executive summary

The guide provides essential information for companies looking to purchase sustainable aviation fuels (SAF) to reduce their environmental impact. Key points include the necessity to avoid crop-based biofuels, prioritising e-kerosene, and understanding the significance of SAF’s origin, price, and certification. The guide also highlights the complexity of emissions calculations and reporting.

Introduction

Aviation emissions significantly contribute to climate change, with business travel being a major driver. This guide aims to help companies make informed SAF purchases by providing answers to crucial questions about feedstocks, production locations, costs, and certification.

Criteria to consider when purchasing or investing in SAF

Feedstocks: SAF is derived from biofuels or e-fuels. Biofuels come from biomass, while e-fuels are synthesised from hydrogen and carbon. E-kerosene, produced correctly, can be near CO2-neutral. Crop-based biofuels are less sustainable due to food security competition, while waste-based biofuels have limited availability and fraud risks.

Origin: Locally produced SAF is preferred to reduce transportation emissions and ensure compliance with regional sustainability standards. The EU’s stringent criteria make European SAF purchases more reliable.

Price: SAF is more expensive than conventional kerosene but expected to decrease over time. Companies need to consider the price premium and transparency in cost breakdowns.

Flight emission calculation methods: Different standards complicate emissions analysis and reporting, requiring companies to choose the most appropriate methodologies.

Certification: Ensuring SAF is certified by recognised schemes like ISCC EU, RSB EU RED, or REDCert is crucial for credibility. Companies should familiarise themselves with these certifications and define their sustainability criteria.

Physical availability: SAF is not available at all airports, often requiring reliance on book-and-claim systems where environmental attributes, not physical fuel, are purchased.

Offtaking options

Airlines’ schemes: Many airlines offer programs for corporate customers to purchase SAF, often involving green fares or voluntary contributions. Examples include Lufthansa’s Business Green Fares and United Airlines’ Eco-Skies Alliance. These schemes usually involve biofuels, with limited options for selecting SAF types.

Producers’ schemes: Companies can directly purchase SAF from producers like Neste’s “My SAF for Business” or SkyNRG’s “Board Now” program, which currently offer biofuels.

Joint procurement: Companies can engage in joint procurement schemes to aggregate demand and negotiate better terms for SAF purchases.

Travel management companies and dedicated platforms: Platforms like Amex GBT’s Avelia and Travel Places UK offer SAF purchasing options, often in partnership with airlines.

Ad hoc partnerships: Companies can negotiate directly with airlines or fuel suppliers for tailored SAF procurement, providing more control over SAF types and transparency.

Conclusions and best practices

Selective SAF adoption and clear communication: Companies should choose SAF that genuinely reduces emissions and maintain transparency to avoid greenwashing.

Feedstock scrutiny: Prioritise sustainable feedstocks, avoiding crop-based biofuels, and consider direct negotiations for more control over SAF types.

E-fuels emphasis: E-kerosene should be prioritised as it becomes available, offering environmental advantages over biofuels.

Include a nominal SAF target: Setting and communicating clear SAF targets within corporate travel policies helps demonstrate commitment to sustainability.

Local production and consumption: Supporting local SAF production reduces transportation emissions, lowers costs, and increases supply chain reliability.

Driving down costs: Integrating SAF into operational expenses can help increase demand and potentially reduce costs over time.

Certification and standards adherence: Engage with certified SAF to ensure credibility and define sustainability criteria according to company priorities.

Awareness of book and claim systems: Understand the implications and ensure due diligence when using book-and-claim systems until a universally accepted framework is established.

Recommendations

• Reduce flying and maximise virtual tools and rail travel.
• Learn about SAF benefits and limitations.
• Avoid crop-based biofuels and prioritise e-fuels.
• Set and communicate nominal SAF targets.
• Ensure transparency from airlines and fuel suppliers.
• Negotiate directly with suppliers for tailored SAF options.
• Maintain transparency to avoid greenwashing.

This structured approach helps companies make informed, sustainable choices in purchasing SAF.