In the United States (US), air carrier Alaska Airlines Inc. has announced an agreement with Shell Aviation to expand the sustainable aviation fuel (SAF) market beyond a standard fuel supply agreement.
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The innovative cross-industry collaboration brings together a world-class fuel supply chain and the fifth-largest domestic carrier to procure and use SAF while working together to define and tackle what it will take to advance SAF technology, development, infrastructure, and investment.
Alaska Airlines has set our course to net zero by 2040 and sustainable aviation fuels represent the greatest near-term opportunity to make a step-level change on that journey. That’s why we’ve pioneered SAF technologies for more than a decade. But we can’t scale the market alone. We’re excited to take this next step in the journey with Shell, to leverage their deep knowledge of the energy industry, its infrastructure requirements, and supply chain to make lower lifecycle carbon SAF more widely available for the future, said Diana Birkett Rakow, SVP for Public Affairs and Sustainability at Alaska Airlines.
Details of the agreement include commitments to deepen understanding of the technology, infrastructure, carbon accounting systems, and public policy support needed to bring SAF to more markets, in greater quantities, and at a more sustainable long-term cost.
The companies will put particular focus on enabling supply to the West Coast and alleviating fueling infrastructure challenges in the Pacific Northwest.
Shell Aviation will also supply up to 10 million (US) gallons (37.9 million litres) of neat SAF to Alaska Airlines at its hub in Los Angeles.
We’re excited to expand our strong relationship with Alaska and amplify our efforts to help decarbonize aviation through SAF supply on the West Coast and in the Pacific Northwest. We need support from the entire ecosystem to build a sustainable future for aviation. This deep level of collaboration will help us put the technologies and supply chain in place to advance the industry said Jan Toschka, President of Shell Aviation.
Both Alaska Airlines and Shell Aviation share an ambition to help scale the SAF market by concurrently addressing cost and volume through multiple strategies to grow the availability and commercial viability of SAF.
With Shell’s world-class fuel supply chain and deep technical knowledge, we’re aiming to transform the West Coast fuel supply. By leveraging the fuel infrastructure expertise of a major fuel producer, we can advance SAF access in more markets, accelerating the market scale of SAF to reach our environmental goals, said Ann Ardizzone, VP of Strategic Sourcing and Supply Chain Management at Alaska Airlines.
