Financing Sustainable Aviation Fuels: Case Studies and Implications for Investment

By 2030, global demand for sustainable aviation fuel (SAF) is expected to reach 17 million tonnes per annum (Mt/a), representing 4-5% of total jet fuel consumption. However, SAF production is lagging behind: to meet likely demand in 2030 requires an additional 5.8 Mt of capacity, which would need to secure final investment decisions by 2026.

Based on early success stories and insights from expert interviews and regional roundtables, this white paper explores 10 financial levers that could mobilize the estimated $19-45 billion of investment in SAF production required by 2030: research and innovation grants from governments and philanthropies; support from multilateral development banks; guarantees and insurance; strategic investments from airlines, energy companies and others; long-term offtake agreements; book-and-claim mechanisms; private equity investment; infrastructure investors; a tolling model to charge for refinery capacity; and green bonds tied to SAF production.

This white paper is part of the World Economic Forum’s Airports of Tomorrow initiative, launched in collaboration with Airports Council International (ACI) World to focus on the energy, infrastructure and financing requirements of the aviation industry as it transitions to net-zero by 2050.