Sustainable Aviation Fuel (SAF) 2026

Aviation accounts for approximately 2.5% of global CO2 emissions — and unlike road transport, has no near-term battery electrification pathway for long-haul flights. Sustainable aviation fuel (SAF) is the primary decarbonisation tool for aviation, with the EU's ReFuelEU mandate now in force (2% SAF blend from 2025), CORSIA applying internationally, and major airlines committing to 10–30% SAF use by 2030. In 2026, SAF remains significantly more expensive than conventional Jet A-1, but production capacity is expanding rapidly.

For conventional jet fuel pricing context, see our jet fuel prices 2026. For the aviation fuel guide, see our aviation fuel guide. For shipping's parallel decarbonisation challenge, see our shipping decarbonisation 2026. For the carbon pricing framework, see our carbon credit glossary entry.

SAF production pathways

PathwayFeedstockCO2 reduction (lifecycle)MaturityCost (2026)
HEFA (Hydroprocessed Esters & Fatty Acids)UCO, animal fats, plant oils~65–80%Commercial (dominant)$1,500–2,200/t
ATJ (Alcohol-to-Jet)Ethanol, isobutanol~50–70%Early commercial$1,800–2,500/t
FT-SPK (Fischer-Tropsch from biomass)Woody biomass, agricultural residues~70–95%Pre-commercial / pilot$2,500–4,000/t
Power-to-Liquid (e-SAF)Green H₂ + captured CO₂~85–99%Early demonstration$3,000–6,000/t
SIP (Synthesised Iso-Paraffins)Sugars (fermentation route)~50–85%Limited commercial$2,000–3,500/t

HEFA dominates current SAF production due to its commercial maturity — major producers include Neste (Finland; world's largest SAF producer), World Energy (USA), SkyNRG (Netherlands), and several major oil refineries adding SAF production streams (Shell, TotalEnergies, Repsol). HEFA feedstock is constrained by the availability of sustainable waste fats and UCO; the IEA estimates HEFA cannot alone supply the volumes needed for 2030+ mandates.

ReFuelEU Aviation and global mandates

JurisdictionMandate/TargetSAF blend level (key years)
EU (ReFuelEU Aviation)Regulation; binding on fuel suppliers2% (2025), 6% (2030), 20% (2035), 70% (2050)
UK (Jet Zero SAF mandate)UK SAF mandate from 20252% (2025), 10% (2030), 22% (2040), 10% by 2050 (different metric)
USA (SAF Grand Challenge)Voluntary + IRA tax credit incentiveGoal: 3bn gallons/year by 2030 (vs ~100m gallons today)
ICAO CORSIACarbon offsetting + SAF credit systemSAF generates CORSIA credits; mandatory for international aviation 2027+
Singapore (SAF levy)Singapore Changi SAF levy from 20261% blend (2026); rising to 3–5% by 2030

SAF prices vs conventional Jet A-1

The "green premium" — the additional cost of SAF vs conventional jet fuel — is the primary commercial barrier to rapid SAF adoption:

  • Conventional Jet A-1 (2026): ~$600–900/tonne ($0.76–1.14/gallon)
  • HEFA-SAF (2026): ~$1,500–2,200/tonne ($1.90–2.80/gallon) — a 2–3x premium
  • At a 2% blend (ReFuelEU 2025 minimum), SAF adds approximately 2–4% to airline fuel costs — manageable
  • At a 6% blend (2030 target), SAF adds approximately 7–15% to fuel costs — significant; airlines are beginning to pass this as "SAF surcharge" to passengers
  • Cost reduction trajectory: HEFA-SAF projected at ~$800–1,200/tonne by 2030 as scale increases; e-SAF at ~$1,500–2,500/tonne by 2035 with green H2 cost reductions

Global SAF production capacity 2026

Global SAF production in 2026 is estimated at approximately 2–3 million tonnes per year (Mt/year) — up from ~300,000 tonnes in 2022 but still only ~1–1.5% of total global jet fuel consumption (~280 Mt/year):

  • Neste (Finland): ~1.5 Mt/year SAF capacity across Rotterdam, Singapore, and Porvoo refineries; world's largest SAF producer
  • World Energy (USA): ~500,000 tonnes/year at Paramount, CA facility
  • TotalEnergies: La Mède refinery (France) converted to SAF/biofuels; expanding capacity
  • LanzaJet (ATJ): First commercial ATJ-SAF plant operational in Freedom Pines, Georgia, USA (2023)
  • HIF Global (e-SAF): Haru Oni facility (Chile) — world's first commercial e-SAF plant; ~130,000 litres/year at early stage; scaling planned
SAF book-and-claim accounting
Most SAF is not physically blended into the jet fuel used on a specific flight. Instead, SAF is blended into the fuel at a refinery or airport tank farm, and airlines purchase "SAF certificates" (book-and-claim system) that credit them with the CO2 reduction regardless of which aircraft physically burned the SAF molecules. This system — analogous to renewable electricity certificates — allows airlines to claim SAF benefits even when operating in regions without SAF production. CORSIA's SAF scheme uses a similar certificate-based accounting. The book-and-claim approach reduces logistics complexity but has faced scrutiny over additionality — whether the SAF certificate genuinely represents additional decarbonisation or merely redistributes credit for existing production. Standards bodies (ISCC, RSB) certify SAF to ensure sustainability criteria are met. For parallel certificate markets in carbon, see our carbon credit glossary entry.

Frequently asked questions

What is sustainable aviation fuel (SAF)?
SAF is a drop-in jet fuel replacement produced from non-fossil feedstocks (waste fats, biomass, green H₂ + CO₂) that reduces lifecycle CO2 by 50–99% vs conventional Jet A-1. It's chemically compatible with existing aircraft engines (up to 50% blend approved). HEFA (from waste fats/UCO) is the dominant commercial pathway. Global SAF production reached ~2–3 Mt/year in 2026 vs ~280 Mt/year total jet fuel consumption.
What is the EU ReFuelEU Aviation mandate?
ReFuelEU Aviation requires minimum SAF blending at EU airports: 2% from 2025, 6% from 2030, 20% from 2035, 70% by 2050. Fuel suppliers (not airlines) bear the compliance obligation. An e-SAF sub-mandate (0.7% from 2030) drives power-to-liquid development. Non-compliance faces penalties. The UK has a parallel SAF mandate (2% from 2025, 10% by 2030).
How much does SAF cost compared to conventional jet fuel?
HEFA-SAF costs ~$1,500–2,200/tonne in 2026 vs conventional Jet A-1 at ~$600–900/tonne — a 2–3x premium. At 2% blend (2025 EU mandate), this adds ~2–4% to airline fuel costs; at 6% (2030), ~7–15%. E-SAF (power-to-liquid) costs $3,000–6,000/tonne currently. SAF costs projected to fall as scale increases: HEFA ~$800–1,200/t by 2030.