The U.K. government on April 25 confirmed plans to create a sustainable aviation fuel (SAF) mandate that will require 22% of all jet fuel in flights taking off from the U.K. to come from sustainable sources by 2040. The mandate, which is subject to parliamentary approval, is expected to come into force in January 2025.
The SAF mandate sets annual targets on fuel suppliers to blend a portion of SAF into their fuel supply. According to the U.K. Department of Transport, it will operate as a tradable certificate scheme where the supply of SAF is rewarded in proportion to its greenhouse gas (GHG) emissions reductions.
The mandate is set to begin at 2% of aviation fuel supplied in 2025, ramping up to 10% in 2030 and 22% in 2040. Hydroprocessed esters and fatty acids will be allowed to contribute up to 100% of SAF demand in 2025 and 2026, decreasing to 71% in 2030 and 35% in 2040.
A requirement for SAF produced via power-to-liquid (PtL) technology will be introduced starting in 2028 at 0.2% of total jet fuel demand, increasing to 2.5% of total jet fuel demand in 2040.
According to the Department of Transport, the buy-out prices for the mandate will be set at the equivalent of £4.70 and £5.00 per liter for the main and PtL obligations, respectively. Formal reviews of the program will be conducted at least every five years, with the first review completed by 2030. Aviation turbine fuel, aviation gasoline and hydrogen will be eligible for the reward provided they meet strict sustainability criteria.
“Sustainable aviation fuel protects the future of U.K. aviation, the thousands of British jobs that depend on it, and the holidays and business travel flights that we all rely on,” said Transport Secretary Mark Harper.
“As part of our plan to grow the economy, the measures announced today will give both U.K. aviation and the UK SAF industry the certainty they need to keep creating skilled British jobs while giving passengers the freedom to continue travelling by air in a way that’s fit for the future,” Harper continued.
In coordination with the SAF mandate announcement, the U.K. Department of Transport on April 25 also launched a public consultation on revenue certainty options to support the SAF industry in the U.K. The revenue certainty mechanism aims to reduce the risk of uncertain revenues for emerging SAF plants, helping to attract investment to U.K. SAF projects and increase domestic SAF production.
The U.K. first announced plans to implement a SAF mandate in mid-2021. The Department of Transport in 2023 opened a public comment period on a proposed SAF mandate. A full copy of the government’s April 25 announcement is available on the Department for Transport website.
