In 2024, £71 million will be made available to airlines through the fuel purchasing incentive, which encourages airlines to switch to SAF by approximately halving the price gap between kerosene and its greener alternative.
Heathrow is aiming for 11% SAF usage by 2030, scaling up the incentive year-on-year, as it looks to fulfil its ambition of achieving net zero carbon emissions by 2050.
But the airport took a swipe at Chancellor Jeremy Hunt, saying he “missed a prime opportunity” to invest in the UK SAF industry during his autumn statement on Wednesday (22 November).
“Thousands of jobs, billions added to the economy and the UK’s fuel security are within grasp if government creates a policy environment which cultivates UK SAF production,” Heathrow said.
“Low production volumes and high costs remain the barrier to wider SAF use – which is where Heathrow’s incentive scheme is helping to bridge the gap. Ministers needs to act now to secure Britain’s world-leading aviation sector’s future, in a world without carbon.”
Matt Gorman, Heathrow director of carbon, said: “Sustainable Aviation Fuels are a proven reality – they have already powered hundreds of thousands of flights and we will soon show we can fly the Atlantic fossil fuel free.
“Heathrow’s first of its kind incentive scheme has seen SAF use at the airport ramp up in recent years. Now, the government needs to capitalise on this strong demand and legislate for a revenue certainty mechanism to enable a home-grown SAF industry, before it is too late for the UK to benefit from jobs, growth and energy security this would bring.”
But transport secretary Mark Harper this week told the Airlines 2023 conference in London that the government’s drive towards wider usage of sustainable aviation fuel would be impacted by the impending general election.
“There is a legal requirement for us to consult – we will do that by 26 April,” he said, but admitted: “If primary legislation is needed, it won’t be before the election.”