Airlines alone spent $140 billion on jet fuel in 2010. That cost grew to more than $200 billion in 2012.
Operation Renewable Jet Fuels aims to significantly reduce greenhouse gas emissions from the aviation industry by facilitating the sustainable scale-up of the nascent advanced renewable fuel industry.
Unlike road transport, air travel still doesn’t offer the consumer a green travel option. It is our goal to try to bring about greener flights for all by getting non-petroleum fuels from demonstration stage to commercial use in airplanes around the world.
We will accomplish this by solving the information barrier, encouraging sustainable technologies and business models, and helping the industry cross the financial “valley of death.” In its current pre-commercial stage, getting the growth capital needed for commercial-scale production build out is a major challenge.
The CWR is working with partners in the financial community, leading fuel purchasers, insurers, producers, and policy makers to help launch the industry, using the data and analysis contained in our database and www.RenewableJetFuels.org.Learn more about the important work of Carbon War Room's Operation Renewable Jet Fuels atwww.RenewableJetFuels.org. RenewableJetFuels.
About the Aviation Operation
Air travel currently transports more than two billion people a year and 43 million tons of goods – but emits ~650 million tons of CO2 in the process. Though ships and cars produce more total pollution than airplanes, we are increasingly flying for holidays, city breaks and business. The Intergovernmental Panel on Climate Change (IPCC) reports that aviation is responsible for approximately 2%, of annual anthropogenic CO2 emissions. Unchecked, the aviation sector could be responsible for over 5% of global emissions by 2050. The aviation industry is highly vulnerable to fuel price fluctuations with fuel representing 33% of an airline’s operating costs on average. Airlines spent $140 billion on jet fuel in 2010. That cost exceeded $200 billion in 2012. High prices, coupled with tremendous volatility, have made identifying new fuels a priority for the industry. Early stage companies in the renewable jet fuel industry are struggling to meet capital requirements, due in part to investor uncertainty in this landscape of complex technologies and markets. These concerns surround the entire value chain and include scale-up risk, technology status, environmental and carbon impact, and feedstock availability, as well as perhaps the most important factor – costs.
Learn more at www.RenewableJetFuels.org.
New low-carbon fuels could help to provide the aviation sector with enhanced energy and price security while significantly reducing its CO2 emissions. However, to overcome the powerful backlash to the first generation of biofuels, strong, credible sustainability standards have to be created – only then will this new generation of fuels earn public acceptance. Additionally, they must be practical, workable and affordable for businesses to adopt them. Finally, for these standards to facilitate industry growth and not become a barrier to international trade, they must be truly international in nature.
Key Leverage Points
The Carbon War Room believes that increased transparency and access to information will accelerate the formation of the renewable jet fuel market (as well as additional related renewable fuel markets). Participants in the industry need a more complete understanding of the firms in the market, supply chain risks, technology performance and differentiation, and scalability in order to form partnerships, sign contracts, and provide finance that will be essential for this historic shift to a commercial scale, global renewable jet fuel industry.
RenewableJetfuels.org explains the complex renewable jet fuel industry and broader landscape in terms that anyone can understand. Launched and maintained by Carbon War Room this dynamic website is a vial resource for journalists, financial advisors, airline staff, and anyone else who needs to understand the industry but is not a technical expert.
The website was designed by our experts who collectively have decades of experience in the biofuels field and have collected and cross checked up to 70 data points for >100 companies in the advanced biofuels supply chain. Our team is helping investors, bankers, operators, fuel buyers, and others to compare suppliers on technical performance, economic viability, carbon footprint, and other key metrics.
The success of the operation will be achieved when the percentage of sustainably produced renewable fuel used by fleets is growing at a rate that will allow it to reach 50% of the global jet fuel supply.
Commitments to rapid development and deployment targets for these measures are an important first step. Although renewable alternatives to burning kerosene are not yet fully commercial, fuels produced from new crops like algae and jatropha are under development and showing promise in early performance tests. Widespread adoption of these fuels could have significant emissions implications.
The key objective is to enhance the confidence of key decision makers by establishing transparency in, and improving understanding of, this new and rapidly evolving industry via RenewableJetFuels.org and deal facilitation.