Argus US West Coast SAF
Overview
With more global carbon reduction mandates coming online and airlines looking to fulfill their environmental, social and corporate governance (ESG) requirements they will look to sustainable aviation fuel (SAF) to meet their needs. SAF is the primary solution for airlines to fly more sustainably, as electrification is not yet a solution.
Through self-governance by airlines, and low-carbon fuel standard programs in California and Oregon, sustainable aviation fuel is quickly becoming a highly sought-after commodity.
SAF is fuel for airlines that is not derived from crude oil, but from sustainable fuels, including used cooking oil, ag residues, wood waste, etc. This can then be mixed with conventional jet fuel and dropped into an airline in the same way the petroleum-based jet fuel is.
Price assessment details
What are the advantages of the Argus US West Coast SAF price assessment?
The Argus daily SAF assessment is based on market surveys, instead of a calculated price. The Argus SAF assessment is more reflective of activity in the physical SAF market.
Providing transparency to the US SAF market
The Argus price for US West Coast SAF will be published daily in cents/USG and is assessed as the differential of sustainable aviation fuel to Los Angeles conventional prompt jet fuel, excluding federal and state environmental credits. This new assessment will provide pricing transparency of an opaque market and enable the industry to respond faster to changing market conditions.
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