Airbus to help build SAF supply chain in Japan

Airbus has joined Japan's ACT FOR SKY -- a voluntary organization that commercializes, promotes and expands the use of locally-produced sustainable aviation fuel -- to support building a resilient supply chain in the country, the company said in a statement Oct. 2.

The world's largest aircraft manufacturer will do so by providing technical information and collaborating with ACT FOR SKY partners on research and technology relating to the fuel. Established in March 2022, the organization now consists of 31 companies -- including ENEOS and Idemitsu.

Airbus has been using domestically-produced SAF for helicopter test flights at its Kobe Airport facility. This came after the company conducted the country's first SAF helicopter flight with local operator Nakanihon Air at Nagoya Airport last year.

Airbus will also transport helicopters or larger aircraft parts in and out of Japan using the SAF-powered Airbus Beluga aircraft, the company said in the statement.

"We are committed to supporting SAF as a major lever in the reduction of CO2 emissions as part of the aviation industry's decarbonization roadmap to net-zero CO2 emissions by 2050," said Airbus Japan's President Stéphane Ginoux.

"All Airbus aircrafts, including military aircrafts and helicopters, can already fly with a 50% SAF blend. We aim to make our entire product portfolio capable of flying with 100% SAF by 2030, acting as a catalyst to ready the ecosystem for a 10% global uptake by 2030," added Ginoux, who also heads Airbus' North Asia region.

In May, the Japanese government introduced a proposal mandating the replacement of 10% of its 2030 jet fuel demand with neat SAF, with plans to introduce such regulations by mid-2024.

Its Ministry of Land, Infrastructure, Transport and Tourism estimated that neat SAF demand in the country in 2030 will be about 1.71 million kiloliters, or 10.8 million barrels, of which, the expected demand by Japanese airlines to be 880,000 kiloliters, and 830,000 kiloliters for international airlines.

Meanwhile, Japan's Ministry of Economy, Trade and Industry expects neat SAF supply in the country to be 1.92 million kiloliters in 2030, after collating forecasts published by refiners and suppliers.

In August, Japan's jet fuel sales rose 10.1% year on year to 82,718 b/d, latest METI data showed. In the first eight months of 2023, Japan's aviation fuel sales were up 14.5% from the same period a year earlier at 73,175 b/d.