Australia plans net zero jet fuel body to drive SAF

Market: Biofuels, Oil products
14/07/22

Australia's federal government plans to set up a government-industry body to advise and develop policies and strategies to transition the aviation sector to a net zero greenhouse gas (GHG) emissions industry by 2050, modelled on the Jet Zero Council in the UK and the Council for Sustainable Aviation Fuels in Canada.

The government also plans to review regulatory issues in the aviation sector through a new white paper on the industry, said Australian transport and infrastructure minister Catherine King.

"A step like this will be another example of our government's commitment to advancing net zero across the economy, as well as leading concrete action to cut emissions here and abroad," King told a sustainable fuels breakfast meeting in Sydney. Australia has set a target of net zero GHG emissions by 2050.

The meeting was hosted by the Sustainable Aviation Fuels Alliance of Australia and New Zealand, which earlier this year recommended an emissions intensity mandate benchmarked against jet A1 fuel. It wants a 2.5pc reduction in emissions intensity from jet fuel by 2025, a 3pc reduction by 2030, 10pc in 2040 and 50pc in 2050.

Canberra needs to provide more incentives for the aviation sector to invest in sustainable aviation fuels (SAF) as there has been an absence of policy in the domestic sector, Australia's Qantas Airways head of sustainable fuels Graeme Potger said at the breakfast. The agreement Qantas struck with BP to acquire 10mn litres (63,000 bl) of SAF for flights from London Heathrow airport in 2022 was done because there was a UK government subsidy involved in the agreement, he said.

BP is in the process of converting its former Kwinana refinery in Western Australia into a 10,000 b/d plant to produce renewable diesel and SAF from feedstock sources including waste oil, tallow and used cooking oil.

By Kevin Morrison

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