Why airlines are revising green transition plans as SAF production fails to take off

When Air New Zealand last summer dropped its 2030 climate impact reduction target, it underlined the challenges even the most progressive airlines face in building momentum in meeting their longer-term commitment to cut carbon emissions. In mid-2022, the airline had been among the first to commit to a science-based target to reduce carbon emissions by the end of this decade. That envisaged a near 29% reduction in carbon intensity by 2030 against 2019 levels. This was to be achieved through a multi-faceted approach, focusing heavily on the adoption of new aircraft technologies and sustainable aviation fuel (SAF). The 2030 target marked a clear staging post on the carrier’s journey to net-zero emissions by 2050. However, two years later, and while remaining committed to the long-term goal to be net-zero by mid-century, Air New Zealand dropped it. Meeting such decarbonising ambitions always included a leap of faith by airlines, in that the required ramp-up of SAF production and new technology development was largely beyond their control. But even the part airlines thought was within their control – the ability to operate more fuel-efficient aircraft – turns out to be harder to achieve as well. Air New Zealand cited the wider policy and availability issues regarding new aircraft and fuels development as factors in its decision. Significantly, however, CE Greg Foran flagged that it had “become apparent” that potential delays to its fleet renewal plans posed an additional risk to the target’s achievability. The carrier is far from alone. Story has more.<br/>