Global production of sustainable aviation fuel (SAF) is projected to double this year, reaching 2 million tonnes, according to the International Air Transport Association (IATA).
The global airline body made the announcement on Sunday during its annual meeting in New Delhi, India.
It noted that the projected SAF volume for 2025 would account for just 0.7% of total fuel consumption by airlines—an abysmally low share.
SAF produces significantly lower emissions than conventional jet fuel, but airlines continue to face challenges in adopting it to meet their sustainability goals.
IATA says SAF remains far more expensive than traditional jet fuel, and its uptake is progressing at a disappointingly slow pace.
In a statement, IATA Director General Willie Walsh emphasized the urgent need to scale up SAF technologies and production to improve efficiency and reduce costs.
While the expected increase in SAF output is a positive development, the relatively small volume is likely to add $4.4 billion to the global aviation industry’s fuel bill this year, Walsh said.
In 2021, the global aviation sector committed to achieving net-zero emissions by 2050, primarily through a phased transition to SAF.
SAF is typically produced from sources such as waste oils and biomass.
The aviation industry, which contributes about 2–3% of global greenhouse gas emissions, believes SAF could deliver up to 65% of the emission reductions required to meet its 2050 climate goals.
Life-cycle assessments show that SAF can reduce aircraft emissions by up to 80% compared to traditional jet fuel, making it one of the most effective decarbonization tools available to the sector.
However, the shift to SAF remains difficult.
Some airlines accuse energy companies of failing to produce adequate volumes of the fuel, while others blame aircraft manufacturers like Airbus and Boeing for delaying the rollout of more fuel-efficient models optimized for SAF use.
Meanwhile, Europe and North America continue to lead the growth of the global SAF market.
Recent data from the U.S. Energy Information Administration shows the country’s SAF output reached historic levels.
As of January 2024, daily SAF production in the U.S. was around 2,000 barrels but has since risen sharply to over 20,000 barrels by May.
In Europe, TotalEnergies is co-developing a 250,000 MTPA SAF facility in northwest England, which is expected to supply 53.5% of the UK’s projected SAF demand by 2035.