Switched On Fueling Change: Cutting Aviation’s Carbon Footprint
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Aug 7, 2025 Nikolas Soulopoulos, Head of Commercial Transport at BloombergNEF, and Takehiro Kawahara, Aviation Specialist, dive into the urgent need for sustainable aviation practices. They discuss the high costs of sustainable aviation fuel (SAF) and explore various decarbonization methods, including hydrogen-powered engines and electric aircraft. The pair address consumer willingness to pay for greener options and the role of policy changes. With air travel demand soaring, they emphasize collaboration across the industry to navigate a sustainable future.
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SAF's Sustainability Varies
- Sustainable aviation fuel (SAF) varies greatly in sustainability depending on feedstock and production method.
- The term "so-called" is used to indicate that not all SAF is equally sustainable.
Current SAF Usage is Limited
- SAF currently represents only 0.3% of global jet fuel production, with some airlines achieving higher usage, especially in Europe.
- Asian airlines have lower SAF usage despite targets to increase blending.
SAF Cost Challenges
- SAF is unlikely to become as cheap or cheaper than fossil jet fuel due to feedstock and production costs.
- Achieving 100% SAF usage is technically possible but economically challenging.