Global Sustainable Aviation Fuel Market is Anticipated to grow at a Significant Pace during the Forecast Period 2023-2030 and Cross USD 15.53 Billion by 2030

Published Date: Dec, 2023

The global sustainable aviation fuel market was USD 0.47 billion in 2022 and is expected to reach USD 15.53 billion by 2030 with a CAGR of 64.62% during the forecast period, i.e., 2023-2030. Sustainable Aviation Fuel (SAF) is a renewable and environmentally friendly alternative to conventional aviation fuels, derived from sources like waste oils, biomass, and renewable feedstocks. Its production and use result in lower greenhouse gas emissions compared to traditional jet fuels, contributing to the aviation industry's efforts to mitigate climate change.

The demand for SAF is steadily increasing due to a global push towards sustainable practices in the aviation sector. Airlines, under pressure to reduce their carbon footprint, are incorporating SAF into their operations to meet environmental regulations and achieve corporate sustainability goals. Governments and international bodies are also encouraging the use of SAF to align with broader climate targets.

Several factors hinder the widespread adoption of SAF including the high production costs associated with SAF compared to conventional jet fuels. Limited availability and scalability of sustainable feedstocks, such as biomass and waste oils, contribute to these elevated costs. Additionally, the lack of infrastructure for SAF production and distribution poses a hurdle, as retrofitting existing facilities and building new ones requires substantial investment. Regulatory frameworks and inconsistent policies across regions also create uncertainty, slowing down the industry's ability to scale up SAF production and meet the increasing demand for eco-friendly aviation fuels. Addressing these challenges is crucial for the continued growth and mainstream adoption of SAF in the aviation industry.

In November 2023, Boeing announced that it is leading an initiative, in partnership with the US Department of Transportation and Federal Aviation Administration (FAA), to boost the use of Sustainable Aviation Fuel (SAF) across Asia-Pacific Economic Cooperation (APEC) nations. Aligned with the International Civil Aviation Organization's goal of achieving net-zero carbon emissions by 2050, Boeing aims to address the current limitations of SAF, which makes up only 0.1% of global jet fuel consumption. The aerospace company emphasizes the urgency of scaling up SAF supplies to meet environmental targets in the aviation industry, recognizing the significance of this sustainability initiative.

Browse 75 market data Tables and 45 Figures spread through 226 Pages and in-depth TOC on "Sustainable Aviation Fuel Market, by Platform (Commercial Aviation, Military Aviation, Business & General Aviation, and Unmanned Aerial Vehicle), by Fuel Type (Bio-Fuel, Hydrogen Fuel, Power-to-Liquid Fuel, and Gas-to-Liquid Fuel), by Biofuel Blending Capacity (Below 30%, Between 30-50%, and Above 50%), by Technology (HEFA-SPK, FT-SPK, HFS-SIP, and ATJ-SPK), and by Region (North America, Europe, Asia-Pacific, Middle East and Africa, and South America) - Global Forecast to 2030

By platform, commercial aviation dominates the global sustainable aviation fuel market.

Based on the platform, the global sustainable aviation fuel market is segmented into commercial aviation, military aviation, business & general aviation, and unmanned aerial vehicle. In 2022, commercial aviation dominated the global sustainable aviation fuel market due its substantial carbon emissions and a commitment to environmental responsibility. A pertinent example is Airbus partnering with Air France-KLM, easyJet, and others in September 2023 to promote 30% SAF usage on French airport flights. This collaboration underlines the commercial aviation sector's proactive stance towards SAF adoption, emphasizing its role in driving sustainability initiatives and meeting ambitious environmental targets within the industry.

“The Asia-Pacific (APAC) is expected to register the fastest CAGR during the forecast period in the global sustainable aviation fuel market.”

The Asia-Pacific is expected to register the highest CAGR in the global sustainable aviation fuel market owing to increasing environmental awareness and commitments. In a recent development, Qantas Airways announced a partnership with BP in November 2023 to explore opportunities for SAF production in Australia. This collaboration reflects the region's growing interest and investment in sustainable aviation solutions, positioning APAC as a key player in the expanding SAF market as it actively pursues eco-friendly alternatives in the aviation sector.

Some of the major players in the global sustainable aviation fuel market include Aemetis, Inc., Alder Fuels, BP plc, Fulcrum BioEnergy, Inc., Gevo, Inc., LanzaTech, Neste Oyj, Northwest Advanced Bio-Fuels, LLC., OMV Aktiengesellschaft, Preem AB, Red Rock Biofuels, SAF+ Consortium, SkyNRG BV, TotalEnergies SE, Velocys, wasteful, and World Energy.

Global Sustainable Aviation Fuel Market Coverage (By Value)

  • By Platform Insight and Forecast 2018-2030

  • Commercial Aviation

  • Military Aviation

  • Business & General Aviation

  • Unmanned Aerial Vehicle

  • By Fuel Type Insight and Forecast 2018-2030

  • Bio-Fuel

  • Hydrogen Fuel

  • Power-to-Liquid Fuel

  • Gas-to-Liquid Fuel

  • By Biofuel Blending Capacity Insight and Forecast 2018-2030

  • Below 30%

  • Between 30-50%

  • Above 50%

  • By Technology Insight and Forecast 2018-2030

  • HEFA-SPK

  • FT-SPK

  • HFS-SIP

  • ATJ-SPK

Geographical Segmentation

Global Sustainable Aviation Fuel Market by Region

  • North America

  • By Platform

  • By Fuel Type

  • By Biofuel Blending Capacity

  • By Technology

  • By Country – U.S., Canada, and Mexico

  • Europe

  • By Platform

  • By Fuel Type

  • By Biofuel Blending Capacity

  • By Technology

  • By Country – Germany, U.K., France, Italy, Spain, Russia, and Rest of Europe

  • Asia-Pacific (APAC)

  • By Platform

  • By Fuel Type

  • By Biofuel Blending Capacity

  • By Technology

  • By Country – China, Japan, India, South Korea, and Rest of Asia-Pacific

  • South America

  • By Platform

  • By Fuel Type

  • By Biofuel Blending Capacity

  • By Technology

  • By Country – Argentina, Brazil, Chile, and Rest of South America

  • Middle East and Africa

  • By Platform

  • By Fuel Type

  • By Biofuel Blending Capacity

  • By Technology

  • By Country – Saudi Arabia, U.A.E, South Africa, and Rest of Middle East and Africa