Neste and Air bp to increase sustainable aviation fuel supply in Europe
Finland-headed Neste Oyj, the world’s largest producer of renewable diesel and sustainable aviation fuel (SAF) produced from waste and residue raw materials and Air bp, the international aviation fuel products and services supplier, have signed an agreement to offer an increased volume of SAF to airport customers in 2020 and 2021.
In 2018, Air bp and Neste announced plans to explore and develop supply chain solutions for delivering SAF to airports and airlines. As the next step in their collaboration, in April 2019, they jointly developed a viable supply chain solution for SAF to the Swedish aviation market.
This latest step in their cooperation will help to increase the availability of SAF at various airports through making the best use of Air bp’s and Neste’s expertise in the fields of production, blending, supply, and safe operations.
Air bp has supplied SAF since 2010 and, to date, has supplied more than 20 customers and 16 airports globally, including Norway’s Oslo Airport (OSL) where it was the first to supply SAF produced by Neste through the existing airport fueling infrastructure, in collaboration with other industry stakeholders.
bp’s ambition is to be a net-zero company by 2050 or sooner and to help the world get to net zero. Air bp aims to support our customers and the wider aviation industry on their path to meet their low carbon goals. We believe sustainable aviation fuel will play an important role as the industry recovers from the impact of the COVID-19 pandemic. Through our successful ongoing collaboration with Neste, we are pleased to be able to offer our customers a substantially increased volume of SAF as they work towards reducing their emissions, said Martin Thomsen, CEO, Air bp.
Fivefold volume increase
The volume is five times larger than that supplied by the businesses in 2019. Air bp will make the Neste-produced SAF available at selected airports in Europe, with deliveries to airports including Stockholm (ARN), Sweden, and Oslo (OSL) Norway expected to begin in the coming weeks.
The increased supply of SAF comes in response to rising demand from existing and new airline customers, as well as from countries like Norway, where there is a mandate requiring 0.5 percent of all jet fuel sold to be SAF.
The COVID-19 pandemic and its economic implications have not changed our ambition. We remain fully committed to combating climate change by providing tangible, immediately available solutions for reducing the greenhouse gas emissions of flying in cooperation with our partners. The use of sustainable aviation fuel will play a significant role in the industry’s ongoing efforts in making air transportation fit for the climate and environmental challenges it is facing. We are looking forward to continuing our close collaboration with Air bp and jointly contributing to more sustainable aviation, said Thorsten Lange, EVP, Renewable Aviation at Neste.
Additional capacity underway
Made from sustainably sourced, 100 percent renewable waste and residue materials, Neste’s SAF can be used as a drop-in fuel with existing aircraft engines and airport infrastructure, requiring no extra investment.
Furthermore, according to Neste, in its neat form and over the lifecycle, it helps to reduce greenhouse gas (GHG) emissions by up to 80 percent compared to conventional jet fuel.
SAF undergoes the same quality tests as regular fossil jet fuel and can be blended at up to 50% to fuel aircraft. Currently, SAF offers the only viable drop-in alternative to fossil liquid fuels for powering commercial aircraft.
Neste’s SAF annual production capacity is currently 100 000 tonnes (≈ 128.7 million litres). With the Singapore refinery expansion underway, and with possible additional investment into the Rotterdam refinery in the Netherlands, Neste will have the capacity to produce some 1.5 million tonnes (≈ 1.95 billion litres) of SAF annually by 2023.