Singapore Airlines (SIA) Group has signed an agreement with Neste to purchase 1,000 tonnes of neat Neste MY Sustainable Aviation Fuel TM.
The purchase makes SIA and Scoot the first carriers to receive Sustainable Aviation Fuel (SAF) produced at Neste’s refinery in the country, at Singapore Changi Airport.
The milestone will also mark the first direct supply of Neste’s SAF to airlines at Changi Airport, reinforcing their end-to-end SAF supply chain capabilities in Singapore.
In May last year, Neste finished the expansion its Singapore refinery which has the capacity to produce a million tonnes of SAF each year, making it the world’s largest SAF production facility.
Neste’s SAF, which is made from 100 per cent renewable waste and residue raw materials, reduces greenhouse gas emissions by up to 80 per cent over the fuel’s life cycle.
Australia and New Zealand calling for increased SAF infrastructure
As the aviation industry strives to lower its carbon footprint, the national carriers of Australia and New Zealand have urged their respective governments to do more in the way of SAF production.
In December last year, Qantas’ head of sustainability, Andrew Parker said a supportive policy framework for SAF would be critical for sustainable progression in the aviation sector.
“The recommendations we’re making combine a number of policies already implemented by other governments and have the potential to deliver significant economic benefits and fuel security in addition to reducing the industry’s emissions,” Parker said.
“Supporting markets for new fuels through policy will be critical in tackling climate change, and we look forward to working with government and the industry to capitalise on Australia’s significant advantages for SAF production like by products from Queensland sugar cane.”
Air New Zealand has taken a more proactive approach and is seeking SAF partner’s from around the world.
“Air New Zealand is an ideal airline partner for SAF innovators and producers,” Air NZ chief sustainability officer Kiri Hannifan said.
“We have a mature understanding of SAF, a clear roadmap to meet our targets, and the volumes of SAF we need to align with current production capabilities.
“A stable supply of SAF is critical to our ability to reduce carbon emissions and continue to play this role for the long term.”
Australia to look toward local feedstock to meet demand
Last year, CSIRO released the ‘Sustainable Aviation Fuel Roadmap’ which outlined how Australia can meet its SAF goals.
The report highlighted the transition to sustainable fuels is a complex issue that requires active participation from a wide range of stakeholders and suppliers.
One of the key strategies to increase SAF production in Australia is to combine local feedstocks and modern technology to bolster supplies.
The report projects that in 2025, Australia will have enough feedstocks to produce 60 per cent of local jet fuel demand using biogenic feedstocks, growing to 90 per cent by 2050 as biogenic sources continue to grow and hydrogen production ramps up.
