State-owned Development Bank of Japan (DBJ), shipping firm Mitsui OSK Line and trading company Mitsui have invested an unspecified sum in California-based synthetic sustainable aviation fuel (e-SAF) producer Twelve Benefit.
The total investment by the Japanese companies amounts to billions of yen, DBJ said, without giving more details. Its aim is to support the growth of the global e-SAF market, given Japan needs to secure a stable supply network to meet future SAF demand. DBJ previously invested in US-based e-fuels producer Infinium.
Twelve converts CO2, water and renewable energy into hydrocarbons, and makes e-fuels that it hopes will partly substitute for conventional fossil fuels. DBJ expects Twelve's business to expand and is optimistic about its prospects as demand for e-SAF increases, given the required technology is hard to develop.
Japan plans to replace 10pc of the jet fuel consumed by domestic airlines with SAF in 2030. The global aviation industry is aiming to achieve net zero emissions in 2050.
