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JET FUEL: Uniper scraps Swedish E-SAF Project Amid Challenging Market

JET FUEL

Uniper has cancelled its SkyFuelH2 project to produce green hydrogen-based SAF in Sweden because of what it called “challenging market conditions and rising costs”, Platts said.

  • "Continued uncertain effects of the regulatory frameworks that are intended to support increased demand for sustainable aviation fuel means that the project is no longer commercially viable," a Uniper spokesperson told Platts.
  • Capital costs for green hydrogen have soared, causing a setback for the industry.
  • One of the issues with the project is the limited volume available for tender size, coupled with EU rule defining green credentials for SAF.
  • Projects competing in the H2Global e-SAF auction would only be viable if the companies greened existing production, allocating green power and hydrogen to the e-SAF.
  • E-SAF is one of several products of the Fischer-Tropsch process, and the EU requires that the green attributes of the process are shared across all byproducts, making the cost prohibitive.
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