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UK Looks to Support E-SAF Development: Bloomberg

JET FUEL

The UK could become an e-fuel production hub for the aviation industry under a proposed policy, Bloomberg said.

  • The UK government plans to implement a SAF blending mandate, featuring a sub-target for e-SAF.
  • E-SAF is synthetic jet fuel produced from captured carbon capture and green hydrogen.
  • Under the plans, suppliers face a penalty of £4.70/l ($6) of SAF and £5/l of e-SAF if they fall short of mandates.
  • The UK will have a SAF blending mandate of 2% of UK demand for outbound flights, rising to 10% by 2030.
  • The e-SAF obligation will be introduced from 2028 at 0.2%, rising to 0.5% in 2030 and 3.5% by 2040.
  • E-SAF is popular among policy makers as unlike conventional SAF, it doesn’t rely on biogenic feedstocks, which are limited in supply.
  • The UK should hit its first domestic supply mandate but may struggle to scale up beyond 2030 without more projects.

Source: Bloomberg

Source: Bloomberg

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