SAF: Ramp-Up of Climate-Friendly Aviation Fuels Off to a Slow Start

by | 2. Jun 2025 - 12:22 | Economy

IATA Urges Faster Progress. In addition to lacking economic viability and insufficient political frameworks, feedstock availability could also become a major obstacle.

Sustainable Aviation Fuels (SAF) are considered a key pillar in making aviation more environmentally friendly. The industry has committed to achieving climate neutrality by 2050. However, the ramp-up of SAF production has been “disappointingly slow,” according to the International Air Transport Association (IATA).

Although SAF production is expected to double this year to reach two million tonnes, the association announced on Sunday, this still accounts for only 0.7% of total airline fuel consumption. Last year, the share stood at 0.5%. Currently, SAF is blended with conventional jet fuel.

IATA Director General Willie Walsh called the increase in production “encouraging” but emphasized the need for significantly faster progress. He urged fuel suppliers to scale up production and adopt fair pricing practices substantially. Walsh also criticized the EU’s climate targets, which were set without ensuring adequate market conditions or incentives for the production of SAF. As a result, suppliers are exploiting supply shortages to charge excessive markups.

In addition to SAF’s current lack of economic competitiveness, the aviation sector is competing with other hard-to-decarbonize industries, such as heavy-duty transport and shipping, for access to these sustainable fuels. Another pressing challenge is the availability of hydrogen (PDF), a key component in the production of nearly all types of SAFs. Producing climate-friendly green hydrogen not only requires renewable energy but also depends on critical raw materials, such as platinum group metals, which are known for their high volatility in their prices.

Photo: iStock/frankpeters