Sustainable Aviation Fuel (SAF) Explained

Introduction to Sustainable Aviation Fuel (SAF)

• SAF is an alternative, renewable, and low-carbon aviation fuel
• It is a substitute for traditional jet fuel which is derived from fossil sources
• SAF is produced from sustainable feedstocks like agricultural waste, municipal solid waste, plant oils, and other biomass sources
• SAF reduces the environmental impact of air travel
• It helps the aviation industry transition towards a more sustainable future
• The International Air Transport Association (IATA) estimates that SAF could contribute around 65% of the emission reductions needed for the aviation industry to reach net-zero by 2050

How SAF is More Sustainable

• SAF uses renewable fuel, recycling carbon instead of adding it to the atmosphere, closing the carbon loop
• This process reduces emissions by 70%, significantly lowering the aviation industry's carbon footprint and dependence on fossil fuels
• SAF is a 'drop-in' fuel, meaning it can be mixed with or replace traditional jet fuel without altering infrastructure or equipment

Fuel Consumption Across the Globe

• IATA estimates a production of 449 billion liters of SAF is needed to achieve Net Zero CO2 emissions by 2050

Sustainable Aviation Fuel in Singapore

• Singapore houses the world's largest sustainable aviation fuel production facility, located in Tuas which is operated by Finnish refiner Neste
• It has an annual capacity of up to 1.26 billion litres after its expansion completion in May 2023
• Sustainable fuel is three to five times more expensive than conventional jet fuel due to limited supply

Benefit of SAF from Neste

• Decreases greenhouse gas (GHG) emissions by up to 80%
• Improves aircraft performance and burns cleaner in aircraft engines
• Reduces harmful non-CO2 emissions
• Works seamlessly with existing aircraft engines and airport infrastructure
• It is chemically similar to conventional jet fuel and certified under ASTM D7566
• Oxidation stability remains the same for many years, enabling long-term storage
• Has an outstanding cold weather performance with a freeze point of -47°C/-53°F or lower

Future of SAF

• Rules mandating the use of SAF for flights departing from Singapore could be on the cards, is a blueprint that will set carbon emission reduction goals for aviation sector
• The Straits Times reported this on May 18th, 2023
• SAF use target set by the European Union, as well as countries like Japan, Britain and the US, are between 6 and 10% by 2030

Levy on Fuel in 2026 (SG)

• The Civil Aviation Authority of Singapore (CAAS) will determine the levy quantum based on the national sustainability target of aviation fuel, as well as the fuel's projected price at the time
• In 2026, the levy in Singapore will be calculated based on the overall cost of the volume of sustainable fuel that could supply 1% of total fuel-use for flights departing from Singapore
• The goal is for the levy revenue to cover such fuel to form 3 to 5% of total fuel-use by flights by 2030
• Economy-class passengers may incur an additional S$3 for short-haul flights to cities such as Bangkok
• Economy-class passengers may incur an additional S$6 for medium-haul flights to destinations such as Tokyo
• Economy-class passengers may incur an additional S$16 for long-haul flights to places such as London

What SAF is Made From

• Cooking oils and animal fats are commonly used to create SAF, including waste oil from vegetable oil production plants and inedible oils from ethanol production
• Waste cooking oil can be collected from restaurants and other businesses, sent to refineries, and used to fuel flights
• Fuels can be made from municipal or household waste, using rubbish has landfill methane emissions
• Plastics in the waste, once broken down, represent a valuable energy source in the finished fuel
• Plant or animal materials such as wood, wheat or algae can be used as crops
• When these materials grow, carbon is removed from the atmosphere through photosynthesis, converted into fuel and released via combustion
• Broader sustainability impacts must be taken into account such as not competing with the food supply, limiting the use of fresh water, and avoiding deforestation when using crops

Other Facts on SAF

• Aviation accounts for approximately 2 to 3% of global carbon emissions
• Neste SAF is made according to ASTM D7566 standards, and it is compatible with existing aircraft engines and airport fuel infrastructure
• SAF is able to mix to Jet fuel but not more than 50%
• Neste is targeting to refine 1.5 million tons per annum at refineries in Finland and Singapore
• Neste MY SAF is used by leading commercial airlines in Europe, North America and Asia including Lufthansa, Air France-KLM, IAG, Finnair, American Airlines, Alaska Airlines, JetBlue, ANA, JAL as well as cargo carriers such as DHL Group and UPS

Learn about Sustainable Aviation Fuel (SAF), a renewable and low-carbon alternative to traditional jet fuel. SAF reduces the environmental impact of air travel and helps the aviation industry transition towards a sustainable future. It uses renewable sources, significantly reducing the aviation industry's carbon footprint.