Swedavia now introducing financial aid for airlines that use renewable aviation fuel
Swedavia is today launching an incentive programme for airlines that invest in renewable fuel. Through the programme, airlines can get financial aid to fund the additional cost that the purchase of renewable aviation fuel entails today.
The air travel industry’s vision is for Swedish domestic travel to be fossil-free by 2030. For this to be achieved, renewable aviation fuel is a key factor. The technology already exists. What is missing is large-scale production of fossil-free aviation fuel at a competitive price. Swedavia is therefore working to stimulate demand for renewable aviation fuel. By doing so, decision-makers, companies and producers can be shown that there is a growing market for renewable fuel in air travel. It is hoped that this will help increase production and lower the price.
As part of this work, Swedavia is now launching an incentive programme which enables airlines that choose to buy renewable aviation fuel to have 50 per cent of the additional cost covered via a specially established fund. Swedavia has allocated SEK 5 million to the fund for 2016. In order to receive compensation, airlines need to show that they purchased renewable aviation fuel and that they fuelled aircraft at one of Swedavia’s airports or at an airport where they fly to or from one of Swedavia’s airports.
“The incentive programme is one of two large, exciting investments that Swedavia is making in 2016 to increase demand for renewable aviation fuel and the volume produced. We are also involved in a tender process for a service that entails fuelling with renewable aviation fuel at our airports during the year for an amount equivalent to the fuel consumed in all the company’s business travel,” says Karl Wistrand, Swedavia’s president and CEO.
Over the past 40 years, air travel has reduced its emissions by 70 per cent per passenger/kilometre. One essential requirement for continued reductions is the large-scale introduction of renewable aviation fuel.