SAF Production Falls Short of Expectations, Says IATA

Kuala lumpur: The global Sustainable Aviation Fuel (SAF) production is projected to reach approximately 2.4 million tonnes by 2026, accounting for a mere 0.8 percent of aviation fuel consumption and costing airlines an estimated US$4.3 billion, as disclosed by the International Air Transport Association (IATA).

According to BERNAMA News Agency, IATA Director General Willie Walsh expressed disappointment over this year's SAF production, noting that despite a commitment to achieving net-zero emissions by 2050, SAF will comprise only 0.8 percent of airline fuel usage this year. He highlighted the increasing difficulty in reaching the target of 65 percent SAF use by 2050 due to inadequate government policies and the oil industry's apparent lack of interest.

Walsh emphasized the urgency of advancing renewable energy, including SAF, amid the current energy crisis. However, he pointed out the absence of incentives necessary for developing a viable SAF market, despite the pressing need for energy independence, job creation, and climate change mitigation.

IATA is advocating for coordinated efforts across four key areas to expedite SAF scale-up: expanding renewable energy supply for SAF production, ensuring the availability of feedstocks and clean energy, and maintaining open access to fuel infrastructure for fair competition and efficient distribution.

Additionally, IATA calls for robust policy support through effective production incentives and investment frameworks to provide certainty and reduce risk before mandates are enforced. Establishing a global SAF market with adequate volumes at commercially viable prices is crucial for the financial and economic sustainability of airlines. A book-and-claim system is essential to transition the SAF market from local to global, enabling access for airlines and SAF producers worldwide.

Harmonized standards that create consistent rules and fair competition are also necessary to support a global SAF market, IATA stated.

According to IATA's passenger survey conducted in April 2026, there is strong support for decarbonizing air transport among passengers. The survey found that 89 percent of passengers believe the industry should continue reducing emissions even if governmental efforts diminish. A similar percentage views flying as essential and believes it must be made sustainable rather than restricted. Furthermore, about two-thirds of passengers (66 percent) are willing to pay more to offset emissions, and nearly 88 percent expect ticket prices to increase due to sustainability investments.