The new UK government has confirmed that it will continue with the previous administration¡¯s plans to introduce a sustainable aviation fuel (SAF) mandate at the start of 2025.
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The Labour government, which won a landslide victory in the UK general election on 4 July, laid out its plans for transport during the King¡¯s Speech in Parliament last week.
Transport secretary Louise Haigh has now confirmed that the Labour government will introduce the SAF mandate, starting at 2 per cent of all aviation fuel, from 1 January 2025, subject to gaining approval from Parliament.
The mandate will then increase on a ¡°linear basis¡± up to 10 per cent in 2030 and then to 22 per cent in 2040. Haigh said that from 2040 the mandate ¡°will remain at 22 per cent until there is greater certainty regarding?SAF?supply¡±.
Haigh also announced that its proposed bill would introduce a revenue certainty mechanism (RCM) for?alternative aviation fuel?producers looking to invest in new plants in the?UK.
¡°This builds on the?SAF?mandate, which will create demand for?SAF?by setting targets on fuel suppliers to use a proportion of?SAF,¡± she said. ¡°This new sector will create jobs and growth opportunities in the?UK, help secure a supply of?SAF for?UK?airlines and enhance energy security.
¡°There are a number of?SAF?projects being developed across the?UK. Bringing in a revenue certainty mechanism will help to reduce risk, giving investors the confidence they need to invest in?UK?SAF?plants.
¡°It will increase the likelihood?SAF?plants will be built in the?UK, thereby securing a supply of?SAF?for the?UK aviation sector and supporting the delivery of the?SAF?mandate.¡±
The new UK government is largely following the policy on SAF set out by the previous Conservative administration in April.
The EU is also set to introduce its own ¡°blending mandate¡± for the use of sustainable aviation fuels from 2025. It will start at 2 per cent next year and rise to 6 per cent in 2030, with the ultimate target of reaching 70 per cent SAF use by 2050.