Laurent Pic, Permanent Representative of France to the International Civil Aviation Organisation (ICAO), said providing financing and conducive legislation are two crucial factors in driving investment in sustainable aviation fuel (SAF) production.
He added that achieving the goal of zero emissions by 2050 also requires the engagement of all key stakeholders in this transformation.
In his statement to the Emirates News Agency (WAM) on the sidelines of the third ICAO Conference on Aviation and Alternative Fuels (CAAF/3), Pic said that the key factor that triggered investments was the European Union’s legislative framework, dubbed ‘Refuel EU’, which he confirmed would ‘introduce progressively mandates for energy producers to blend SAF with traditional fuel in 2030’.
He noted that France continues to provide support by ‘funding research and development in particular in order to assist the private sector to commit and start this a new business. In 2030, energy producers producing jet fuel will have to put 6 p
ercent SAF into their jet fuel. So there will be they will need to incorporate SAF into traditional fuel.’
Pic highlighted the emerging nature of this sector in France, where many companies are dedicated to advancing SAFs derived mainly from waste or cooking and industrial oils.
Pic explained that ‘for a lot of countries, it is a real challenge to develop SAFs. And we need to give them assistance in terms of capacity building, but also in terms of building a business case so that they can access the financing which would be required to develop and produce SAF’.
‘What is very important to know is that most of the feedstock, the resources that you need to develop sustainable aviation fuels are in developing countries, so they can really benefit from a big opportunity for their economy and their people. But they need to have the ability to trigger this opportunity. They need to have also access to financing, and that’s what we need to organise,” he went on to say.
He then acknowledged the private sector’s vi
tal role in financing this process and the significant capital available for investing in clean energy, including energy used in the aviation sector.
Pic said that regional banks, most notably development banks, are expected to be crucial in encouraging private sector participation.
Recognising this, the ICAO initiated discussions with these banks to prepare them for financing-related initiatives, which include providing funding that will facilitate the entry of investors into this sector, he added, stressing that it is essential to recognise that most of the funds will come from the private sector.
‘This conference is very important because the future of aviation is to be sustainable. Our population wants that. Aviation contributes to the fight against climate change [as do] other sectors of our economy. And we need also to continue benefiting from aviation in terms of connectivity, in terms of business, in terms of social and economic development. And we need to find the solutions to trigger a transition
for the aviation [sector] to cleaner energies,’ Pic said in conclusion.
Source: Emirates News Agency