Global Renewable Aviation Fuel Market is valued at approximately USD 3.04 billion in 2022 and is anticipated to grow with a healthy growth rate of more than 47.16% over the forecast period 2023-2030. Renewable Aviation Fuel, also known as Sustainable Aviation Fuel (SAF) or Alternative Aviation Fuel, refers to a type of fuel designed for use in aircraft that is produced from renewable and sustainable sources. The aviation industry is a significant contributor to greenhouse gas emissions, and renewable aviation fuel aims to reduce the industry’s environmental impact and carbon footprint. The Renewable Aviation Fuel market is expanding because of factors such as increased government regulations for greenhouse gas emissions and the surge in the adoption of biofuels.
Surge in adoption of biofuels across the world and industry is driving the market growth. According to International Renewable Energy Agency (IRENA) Renewable Energy Statistics, the total bioenergy installed capacity stood at 124 Gigawatt which increased to 148 gigawaat in the year 2022. Thus, rising bioenergy adoption is driving market growth. Further, the rising number of government projects for the adoption of biofuel in the aviation industry is driving market growth. increased government regulations for greenhouse gas emissions are driving market growth. For instance. The Departments of Transportation, Energy, and Agriculture created a road map to direct their efforts to increase the supply of this fuel. To cut aviation’s greenhouse gas emissions, the White House issued a “Grand Challenge” to increase sustainable jet fuel production to 3 billion gallons annually by 2030. By 2050, it hopes to produce enough jet fuel to provide all commercial aviation needs. By allocating USD 34.5 million in March 2023, the U.S. government amended its objectives to advance the technology and infrastructure needed to turn garbage into biofuels and forward the 2050 target. Thus, rising government regulations for greenhouse gas emissions are further fueling the market growth. In addition, increasing government initiatives for the production and consumption of renewable aviation fuel and advancements in technology are creating new opportunities for market growth. However, the high cost of renewable aviation fuel and fluctuations in raw material prices stifles market growth throughout the forecast period of 2023-2030.
The key regions considered for the Global Renewable Aviation Fuel Market study includes Asia Pacific, North America, Europe, Latin America, and Middle East & Africa. North America dominated the market in 2022 owing rising private aviation travelers, rising investment in the aviation industry and rising government support for the industry. Asia Pacific is expected to grow significantly during the forecast period, owing to the rising aviation industry, increasing government focus on reducing carbon emissions, rising government investment for the production and adoption of sustainable aviation fuels in the industry.
Major market player included in this report are:
Swedish Biofuels AB
Red Rock Biofuels LLC
Honeywell International Inc.
Fulcrum BioEnergy Inc.
SG Preston Company
Recent Developments in the Market:
Ø In May 2023, Twelve and Etihad Airways, the flag carrier of the United Arab Emirates, signed a Memorandum of Understanding (MOU) to advance E-Jet® fuel, Twelve’s sustainable aviation fuel (SAF) made from CO2 and renewable energy, as well as plans for an international demonstration flight and a supply roadmap that would support Etihad’s sustainability strategy.
Ø In February 2022, Engie SA and the US engineering company Infinium Holdings announced a USD 500 million project to develop sustainable aviation and maritime fuels in northern France. The project’s final investment decision is expected to be made by the end of 2023, and commercial operations are planned to start in 2026.
Global Renewable Aviation Fuel Market Report Scope:
ü Historical Data – 2020 – 2021
ü Base Year for Estimation – 2022
ü Forecast period – 2023-2030
ü Report Coverage – Revenue forecast, Company Ranking, Competitive Landscape, Growth factors, and Trends
ü Segments Covered – Technology, Application, Region
ü Regional Scope – North America; Europe; Asia Pacific; Latin America; Middle East & Africa
ü Customization Scope – Free report customization (equivalent up to 8 analyst’s working hours) with purchase. Addition or alteration to country, regional & segment scope*
The objective of the study is to define market sizes of different segments & countries in recent years and to forecast the values to the coming years. The report is designed to incorporate both qualitative and quantitative aspects of the industry within countries involved in the study.
The report also caters detailed information about the crucial aspects such as driving factors & challenges which will define the future growth of the market. Additionally, it also incorporates potential opportunities in micro markets for stakeholders to invest along with the detailed analysis of competitive landscape and product offerings of key players. The detailed segments and sub-segment of the market are explained below:
Hydroprocessed Esters and Fatty Acids (HEFA)
Synthesisized Iso-Paraffinic (SIP) and Alcohol-to-Jet (AJT)
Middle East & Africa
Rest of Middle East & Africa