COVID-19 Pandemic Rises as the Perfect Opportunity to Tackle Price Gap between Sustainable and Jet Aviation Fuel, Reports Say
Posted On October 19, 2020
With the rapid growth of the aviation fuel industry, increasing demand for sustainable aviation fuel or SAF has been observed. Owing to the various incentive programs conducted by the government, the SAF industry has developed to become the highest growing industry since the last decade.
The Global Aviation Fuel Market is expected to grow enormously in the upcoming years, owing to the emergence of sustainable biofuels and escalating demand from the military for aviation. Due to the climate change condition, a dire need to switch to environment-friendly products has been observed lately, and there couldn’t be a better time to invest in SAF.
COVID-19 Pandemic and Its Impact on SAF
The aviation industry has been affected drastically with the onset of COVID-19 pandemic. The air travel would revolve around sanitation in the post-pandemic times and, hence, the aviation industry must think of new strategies to keep a check on the spread of infection such as integration of sneeze guards.
The earth’s atmosphere has witnessed a fruitful change due to the international travel ban during the pandemic. Thus, the aviation industry should invest more in SAF in post-pandemic times, keeping into account the environmental issues faced by the world. Moreover, this is the perfect time to develop an up to the mark post-pandemic recovery plan.
Investment in SAF is a necessary step towards the greener future we have imagined. In fact, SAF has already been implemented and invested by almost 40 airlines on some level and more than 200,000 commercial flights are estimated to be using SAF since the last decade. This depicts SAF has already gained momentum because of its potential to power the jets with lesser greenhouse emissions. It proves crucial, especially for the communities situated around airports in the developing countries.
However, SAF comes with the challenge of the high cost. The prices of aviation fuels are continuously increasing and are predicted to rise even more in the upcoming times. The price of aviation fuel amounts to the highest cost for the aviation industry, and SAF is known to be even costlier than conventional fuels. Thus, carefully strategized policies are the need of the hour to lessen the price gap between SAF and jet fuel.