Download - Powering the future of flight

8/7/2019 Powering the future of flight

1/20

Powering thefuture of ight

The six easy steps to growing a

viable aviation biofuels industry

April 2011, web version


2/20

Case studyBORN IN HE USA

Case studyPlAN dE vUElO HAcIAlOS BIOcOmBUSIBlESSUSENABlES dE AvIAcINEN mxIcO

Case study

WASE NO, WAN NOCase studyA mASSIvE OPPORUNIy lIESjUS O SHORE

p.8

p.10 p.12

p.6INROdUcION

HE EcONOmIccASE

HE SIx EASy SEPSO gROWINg vIABlEAvIAION BIOUElSINdUSRy

cONAcS ANdURHER REAdINg

p.1

p.3

p.13

p.17

AcknowledgementsMany thanks t the lling peple and rganisatins h cntributed their time and epertise t this publicatin:

Dr Alejandr Rs, Aerpuerts y Sericis AuiliaresPaul Nash and Flrence Massat, AirbusNancy Yung, Air Transprt Assciatin America

Amy Bann, Darrin Mrgan, Dr Michael Lakeman, Terrance Sctt and Bill Gler, BeingJnathn Cunsell and Leigh Hudsn, British AiraysPressr Min Patel, Pressr Feargal Brennan and Ilze Lee, Craneld UniersityGuilherme Freire, EmbraerBrian Pearce and Thmas Rtger, Internatinal Air Transprt Assciatin

And the Bard Directrs the Air Transprt Actin Grup

Phtgraphs and images prided by: Sapphire Energy (page 2, 4 and 14), Slena (page 11), Aerpuerts y Sericis Auiliares

(page 9), Being (page 16), KLM (page 15), Craneld Uniersity (page 12), British Airays (page 11).

This is an Air Transport Action Group (ATAG) publication. ATAG is the only global organisation representing the entire commercial aviation

sector through its Board o Directors, which includes: Airports Council International (ACI), Airbus, Boeing, Bombardier, Civil Air Navigation

Services Organisation (CANSO), CFM International, Embraer, GE Aviation, Honeywell Aerospace, International Air Transport Association

(IATA), Pratt & Whitney and Rolls-Royce. www.atag.org

This publication is or inormation purposes only. While every eort has been made to ensure the quality and accuracy o inormation in this

publication, it is made available without any warranty o any kind. All currency is in US Dollars.


3/20

Weoe tothe bioue ae o iht

BYPaulSteele , ExECUTIvE DIRECToR oF THE AIR TRANSPoRT ACTIoN GRoUP

We have given this publication a subtitle the six easy steps to growing

a viable aviation biouels industry but o course this is not an easy task.

What we set out to do, however, is illustrate the potential or sustainable

aviation biouels to be produced in countries all over the world and provide

concrete examples o how some countries and the aviation industry have

already made substantial progress.

PowERING THE FUTURE oF FLIGHT p.1

we certainly hae cme a lng ay in a shrt

time.

It asnt many years ag that the idea using biuels r fight as dismissed ut hand n technical and saety grunds.Tday, e hae tested a range biuels infight, e hae made ur ay thrugh a erytugh technical standards prcess t ensurefight saety and e hae been rking hardt establish the crrect sustainability criteriar the uels e use.

we are n getting ready t take the netsteps in the jurney alternatie aiatinuels: ramping up t get enugh thisl-carbn energy int ur uel supply.

ess

Glbally, aiatin prduces arund 2% man-made carbn diide (Co2), accrdingt the Intergernmental Panel n ClimateChange. But ith the recast grth indemand r air serices, these emissins illgr i e d nt take actin. In respnse,the aiatin industry has deelped a set ambitius targets aimed at limiting its climateimpact, hile enabling it t cntinue t pridea key ehicle r ecnmic grth. The targetsinclude: impring feet uel eciency by1.5% per year until 2020; capping net aiatinemissins rm 2020; and mst ambitiusly,t hale aiatin Co2 emissins by 2050,cmpared t 2005.

These targets ere set ater careul analysisand ll the industrys track recrd measured prgress, hile als being ar-reaching. But they cannt be achieed bytechnlgy r peratinal imprements ithinthe aiatin industry alne. Gernments illhae t play their part in ensuring that e canperate in the mst ecient skies ith theneeded imprements in air trac cntrlinrastructure and management.

one the biggest pprtunities t meet the2050 target lies in l-carbn, sustainableaiatin uels, particularly biuels. Theyare an essential cmpnent in meeting ur

targets and a ital step t reducing aiatins

climate impact. Aiatin has n alternatie tliquid uel r the reseeable uture, unlikegrund transprtatin r per generatinhich hae had a chice energy surcesr many years, een i they hae nt graspedthis pprtunity as quickly as they culd hae.Therere, aiatin must lk t replace ssiluels ith ler carbn alternaties andsecnd generatin biuels are a perect t.

Vb

Frm a standing start just a e years ag,the aiatin industry has embraced the cncept biuels ith enthusiasm and has alreadycmpleted much the technical rk neededt start cmmercial fights. Rigrus testing,

bth n the grund and in the air, has shnthat biuels can delier equal (and smetimesbetter) perrmance than the current uel.

The biggest challenge n lies in ensuring asteady, reliable, cst-eectie and sustainablesupply this ne energy surce. The ssiluel industry has had a century t deelp itsuel surces, supply chains and distributinnetrks. Nt t mentin its prt margins.The fedgling aiatin biuels industry illneed t catch up and this ill require capitalrm the inestment cmmunity and start-upincenties rm gernments.

As a number cuntries lk t the greenecnmy r grth in jbs and ecnmic

adantage, the stering a sustainableaiatin biuel industry ill pride a dublebenet building green industry and makingthe ital turist and business cnnectinsecnmically and enirnmentally iable.

Ssb

There has rightly been a lt unease abutthe impact that the rst-generatin biuelshas had n bth peple and enirnments.Fd price issues, land and ater use andpllutin hae all been great cncern.In beginning the prcess lking at peringthe uture fight thrugh biuels, theaiatin industry has been etremely careult try and aid the mistakes made in the past.


4/20

Te steps may not beeasy, but we can assureyou the result will beworth it.

Powering the future of flightp.2

In many ays, e are rtunate that aiatinis technically unable t use many thserst-generatin uels. Bidiesel reezes at thehigh altitudes at hich e fy, r eample,and ethanl desnt carry the required energydensity. S in aiatin e hae been lkingat a ide range nn-d crps andsurces biuel. we ant t ensure thathere crps are grn r aiatin biuels,that they are nt taking the place dcrps. The industry has been rking ithrganisatins such as the Rundtable nSustainable Biuels t put in place the rightsustainability criteria r aiatin biuels.

C

withut a dubt, aiatin biuels ill haea big impact n the erall emissins theaiatin industry. Full liecycle assessments just sme the biuel surces that haebeen eplred s ar sh in ecess an80% imprement n the ssil uel currentlyused. while the industry is making sme erysignicant steps in impring the eciency aircrat since the rst jets fe in theearly 1960s, there has been a mre than 70%imprement in uel eciency technlgycan nly take us s ar. Ne uels ill helpus achiee the targets e hae set.

Pcc

The secnd-generatin biuels that aiatinis inestigating are special hen rened,they are irtually identical t the Jet A-1 uele currently use. This means that e cansimply drp them int the current uel supply.

N ne engines, n ne aircrat and nseparate uel deliery systems are neededat airprts. It is the mst practical slutin.Mre biuel can be added t the systemas it cmes n stream. we are striing tpractically replace 6% ur uel in 2020 ithbiuel. we hpe this gure can be higher.

The supply uel t the cmmercial aiatinindustry is als n a relatiely smaller scaleand less cmple than r ther rms transprt. Fr eample, there are er 160,000retail gas statins in the United States alne.This cmpares t a relatiely smaller number

airprt uel depts: 1,679 airprts handlemre than 95% the rlds passengers.Fr this reasn, it is anticipated that it ill beeasier t ully implement the use sustainablebiuels in aiatin than in ther transprtsystems.

It is als imprtant t nte that aiatin is ntlking at just ne surce biuel e areinestigating a range alternaties as yu illsee rm this publicatin. This ill mean ecan benet rm the mst suitable eedstckin any gien lcatin and spread the surcesr better security supply.

It is clear that aiatin is ready t becmea majr custmer in the sustainable biuel

market. It is ital r ur uture and it is animprtant step in reducing carbn emissins.This publicatin, e hpe, ill pride smeinspiratin and ideas based n rk alreadyunderay. It is nt a cmprehensie dcument there are a great number prjectsunderay arund the rld t prducesustainable biuels r aiatin but it despride a e eamples dierent ays thechallenge is being met. At the back, yu illnd sme the key steps e think need t bemade in rder t get the industry n the rightfightpath t sustainable grth.

The steps may nt be easy, but e can assureyu the result ill be rth it.

Collaboration

SsbWyoavFs

degyoavo(SWaFea)

This investigation o alternative aviation

uels easibility and impacts rom the

European Commissions Directorate

General or Transport and Energy is

being conducted by an alliance o

parties, representing all stakeholders

rom both biouel and conventional uel

production up to aviation end-users.


5/20

Te eonoi aseor biouesBiouels or aviation have a number o benefts, the most important o which

is the reduction in greenhouse gases emitted by aviation an important

conduit o world trade and economic development. But airlines will only

be willing to move to sustainable uels i there is a fnancial case. Currently,

biouels or aviation are rare and expensive. But as more and more supply

comes on-stream, the costs will all. The important milestone will be when

the cost o biouel reaches parity with the cost o using the current ossil

uel-based Jet A-1 or airlines.


BY BrianPearCe, CHIEF ECoNoMIST, INTERNATIoNAL AIR TRANSPoRT ASSoCIATIoN

Tday it is nt ecnmical r airlines t usebiuels. Current estimates r the cst prducing biuels suitable r air transprt,suggest that airlines and their passengers uld hae t pay tice as much as theycurrently spend n jet kersene. Heer,the ecnmics aiatin biuels and jetkersene is likely t change.

There are three ays in hich changeill happen:

First, gernment-impsed climate pliciesill add csts t users ssil uels.

Secnd, the ecnmics (and plitics) il lks set t increase the price

jet kersene. Third, the cst prducing and distributing

aiatin biuel shuld all.

The speed and etent t hich these threeinfuences deelp ill determine hquickly biuels becme ecnmic andh quickly they play a majr rle in reducingCo2 emissins rm air transprt.

Cosocbo

Climate change plicy ill likely change theecnmics using jet kersene. Frm 2012,as a result the etensin the EurpeanUnin emissins cap and trading scheme(ETS) t air transprt, airlines fying t andrm Eurpean airprts ill hae t add the

cst carbn diide emissin allancest the cst buying jet kersene, unlesserturned by pending legal challenges.The current price 16 r an allancet emit ne tnne Co2 uld add 2-3%t jet kersene prices, clsing the gap ith

2.00

1.80

1.60

1.40

1.20

1.00

0.80

0.60

0.40

0.20

2000 2005 2010 2015 2020 2025 2030 2035 2040 2045 2050

7.00

6.00

5.00

4.00

3.00

2.00

1.00

US$

perlitre

US$

perga

llon

Jet fuel and carbon prices

Jet

kerosene

Jet + cost

of carbon

The timeframe for parity of biofuels

with traditional jet fuel can be

shifted forward with government assistance

Currentbiofuelcost

Biofuelprojectedcost

biuel csts nly marginally. But allanceprices depend n the aailability cheapemissin reductin ptins in certain sectrs.oer time this l-hanging ruit ill disappearand, by 2050, the cst carbn is epectedt duble ssil uel prices.Climate plicy csts r airlines may nthae mre than a marginal impact n theecnmics aiatin biuels. Frm anaiatin ecnmics perspectie, a mreeectie apprach is t use psitie ecnmicmeasures at an early stage in the deelpment an aiatin biuel industry than aitingt rely n increasing csts using uels,hich may cme t late r aiatin t bea user biuels.

Surce: Jet kersene price based n 25% markup er IEAs crude il recast in Energy Technlgy perspecties 2010. Carbn price taken rm UK DECC 2010 central

case recast r traded carbn price. All are in cnstant (infatin adjusted) US dllars. IATA Ecnmics. Schematic, indicatie diagram.


6/20


Bckgod,obckpm?

The ecnmics jet kersene hae alreadyhad a mre signicant impact than climateplicies in making biuels mre ecnmicallyiable. The rise in il prices during 2008 asequialent t a per tnne Co2 allance price 100, cmpared t the current EurpeanETS allance price 16. Early in 2011 theil price nce mre surged thrugh $100 abarrel shing its sensitiity bth t demandrm rapidly epanding emerging ecnmiesand t plitical turmil in the Middle East.oil and jet kersene prices are currently urtimes higher than the aerage the 1990s

and early 2000s.

Peak il prpnents suggest the rld is clset running ut this nite energy resurce in hich case il prices shuld cntinue trise. But een i there are plentiul reseres il, it is still the case that ne prductin il ismuch mre cstly t etract. Ne elds beingeplited are in deep r therise cmplelcatins. Higher etractin csts ill cntinuet eert upard pressures n il prices, eenithut an impending shrtage.

The ie many eperts, including theInternatinal Energy Agency, is that thesepressures ill cause il and jet kersene pricest trend higher rm n n. Adding the cst

buying Co2 allances it seems reasnablet recast that by 2020 using jet kersene illbe at least as cstly as the peak the 2008

il price spike. This ill signicantly clse thecst gap beteen aiatin biuels and using

jet kersene. But een by 2020 rising ssiluel and carbn csts may nt be sucient ntheir n t make aiatin biuels ecnmic.

Podcocossw

The key t impring the ecnmics usingbiuels r air transprt ill be t signicantlyreduce unit prductin csts. This des lkpssible but it is a cmple issue, nt leastbecause many the biuel technlgies arein a ery early stage deelpment.

Feedstck csts are a large prprtin csts in many the neer biueltechnlgies reliant n bilgical r chemicalprcesses t cnert bimass int uel.Rising d prices tday are indicatie thecmpetitin r arable land. Surace transprtand per generatin are als a surce increasing demand r energy crps. Put thesecmpeting demands tgether ith a limitedstck land and the result is likely t be risingeedstck csts r aiatin biuels.

S reducing the unit prductin csts aiatin biuels is likely t be dependentn big imprements in the prductiity eedstck, the etractin il r sugars rmthse crps, and the cnersin int uel.

This means impred technlgy andinnatin. Much has already been achieed.venture capital and gernment unding is

-30 -25 -20 -15 -10 -5 0

Nuclear power (1975-93)

Wind turbine (1990-98)

Coal power (1975-93)

Ethanol (1979-95)

Solar PV (1968-98)

Gas turbines (1958-63)

GTCC power (1991-97)

Reduction in production costs with

every doubling in capacity

% reduction in unit costs

Collaboration

SsbavoFussGop

(SaFuG)representing airlines that

account or more than 20% o

global commercial aviation uel, has

committed to drive development o

commercial supply chains as well as

support implementation o harmonised

sustainability standards via the

Roundtable on Sustainable Biouels

global multistakeholder processes.

Surce: Internatinal Energy Agency


7/20


being sunk int a number entures.Heer, there are numerus dierent biueltechnlgies being deelped but e haeyet been tested at cmmercial scale, andscale is ne the keys t getting unitcsts dn.

The eperience many energy technlgieshas been that as prductin capacity epandssignicantly ecnmies are achieed thrughscale itsel and thrugh learning. The table npage 4, prduced by the Internatinal Energy

Agency, shs that r eery dubling capacity installed hich can be relatiely

small in abslute terms r a yung industry unit csts hae allen beteen 5% and 20%.This is nt necessarily a recipe r success.It has t be the right uel technlgy that isscaled up. Sme the unit cst reductinsin these eisting uel technlgies came rmtechnlgical prgress. Nt all uels ill haethis ptential. Anther key lessn rm histryis that gernments hae had many ailures inpicking inners.

Wokgwhodccossd

mpovssby

while the industrial technlgies needed tcnert current bimass surces int uelsshs arying degrees prmise t ride aler cst cure t ardability, there is an

een greater ptential r imprement henlking at emerging bimass technlgies.The bilgical and agrnmic science behindan entire prtli net generatin bimasstypes is a relatiely un-eplred dmain ler cst, higher sustainability uels.

Signicant research n identiying and urtherdeelping ne surces bimass r energyhas nly emerged in the past decade, andthe ptential r dramatic reductins canbe epected. Past bilgical imprementachieements cupled ith ne technlgytls in the ability t achiee bimassimprements, suggests clear pprtunitiesare ahead us. Much the erall cst and

sustainability bimass uels depends n thebimass itsel, nt the cnersin step intuels: in the end, its all abut the bimass.

Preius generatins bimass uels erebased n crps ptimised r d prductinand inled ery high leels inputshich characterised the mid-20th centuryappraches agricultural imprement mreater, mre arable land, and mre petrleum-based ertiliser. The 21st century brings abutsignicant cnstraints n the cntinuedaailability thse inputs. Heer, thesecnstraints are driing a signicant amunt ne inestment int bimass surces renergy hich can thrie in such cnstrained

cnditins. Just as many plants respndaurably t stressrs, s t are thescientic and cmmercial research anddeelpment cmmunities respnding thisne 21st century agrnmic enirnment.High sustainability actrs and ler cst uelsare seen by sme as negatiely crrelated i.e. high sustainability means epensie.This relatinship is changing and the driersare ne bimass appraches hich usesustainability as an enabling design tlrather than a barrier t be ercme.

apscppoch

The anser in tdays early stage deelpmentin aiatin biuels must be t take a pluralisticapprach. Priate enture capital is alreadypriding sme supprt t sme hatcurrently appear t be the mst prmising ueltechnlgies. others, such as thse based nalgae eedstck hich lk prmising but stillrequire majr research and deelpment, haereceied sme supprt rm gernments.But the ne r seeral biuel technlgiesthat ill succeed may still be in the labratry.Research and cmmercialisatin unding isrequired r a range ptentially successulbiuel technlgies, rm hich a inner,r inners ill emerge.

It is pssible that a cmmercially iable

aiatin biuel ill emerge, unaided bygernment supprt, rm the priate sectr.Heer, despite impressie prgress in earlystage deelpment, there is little sign thishappening at cmmercial scale.

There is still a cnsiderable ay t g bereaiatin biuels becme ecnmically iable.Gien the imprtance decarbnising theair transprt sectr there is a strng case rgernment supprt t accelerate the scalingup this yung aiatin biuels industry, tbring rard the date hen these ne uelsbecme ecnmically iable.

Case study

locoocghsoo

hss-gowgmks

A number o initiatives are currently

aimed at developing a sustainable

aviation uel industry in China. Boeing

and PetroChina Company Limited are

leading a thorough evaluation o the

potential or establishing a sustainable

aviation biouels industry in China. The

project will look at all phases o aviation

biouel development including agronomy,

energy inputs and outputs, liecycleemissions, inrastructure and government

policy support. Other United States

participants include Honeywells UOP

and United Technologies Corporation,

while Chinese participants include the

Civil Aviation Authority o China, the

State Forestry Administration, and Air

China.

In addition, Boeing and the Chinese

Academy o Sciences Qingdao Institute

o Bioenergy and Bioprocess Technology

(QIBEBT) are collaborating on algae-

based aviation biouel, developing algal

growth, harvesting and processing

technologies. The Joint Laboratory or

Sustainable Aviation Biouels is locatedin Qingdao and managed by Boeing

Research and Technology China and

QIBEBT, and has a strong emphasis

on commercial applications.

Lastly, Air China and Boeing have

planned two signicant fights using

regionally sourced biouel. The inaugural

Chinese biouel fight, powered by

sustainable uel produced rom Chinese

jatropha oil, will demonstrate the

potential or a domestic supply chain in

China. PetroChina, Honeywells UOP and

Pratt & Whitney are also partners in this

eort. A second, trans-Pacic fight will

demonstrate and celebrate internationalcollaboration on biouel development.


8/20

Born in the USAI there is ne rd that has really signied the rk dne s ar t bring

aiatin biuels t lie, it is cllabratin. The dierent players in theaiatin industry are used t rking tgether r cmmn peratinalgals, but the emerging rld aiatin biuels has intrducedairlines, manuacturers and airprts t a cmpletely ne set partners uel supply chains, the agricultural cmmunity and a iderrange gernment agencies.

casestudy

Powering the future of flightp.2 Powering the future of flightp.6

As ne the unders the CmmercialAiatin Alternatie Fuels Initiatie (CAAFI)is nd saying, anther ay lkingat the challenges e ace is t see them aspprtunities r ecellence. This attitudehas been a driing rce the CAAFIcalitin. C-unded in 2006 by the UnitedStates Federal Aiatin Administratin(FAA), Air Transprt Assciatin America(ATA), Aerspace Industries Assciatin(AIA) and Airprts Cuncil InternatinalNrth America (ACI-NA) at a meeting heldin The Being Cmpanys headquarters,this calitins aim is t make cmmerciallyiable, enirnmentally riendly alternatieaiatin uels a reality. Its step-ise apprach

has been t identiy the challenges t thedeplyment such uels and t take them n,either directly r by rking t help leeragethe erts thers tard the cmmn gal.

Indeed, tremendus prgress has beenmade tard cmmercial deplyment sustainable alternatie aiatin uels in theUnited States by pulling tgether the ariusinterested stakehlders aiatin uel usersincluding cmmercial airlines and the USmilitary, uel prducers, airprts, airrame andengine manuacturers, gernment agenciesith remits related t aiatin r alternatieuels mre generally and uniersities andcrdinating and cmbining their initiaties.

Althugh the calitins and stakehlders g

beynd CAAFI, this rganisatin seres as anumbrella grup r the arius US actiities,helping crdinate a range actins. CAAFIis rganised int ur teams, each dedicatedt pprtunities r ecellence in the areasthat therise might present bstacles tsustainable alternatie aiatin uels:

research and deelpment; certicatin and qualicatin; enirnmental demnstratins; and the business case.

A lk at each these areas shs prgressmade and remaining pprtunities that illbenet rm urther cllectie actin.

rschddvopm

Many cmmentatrs hae remarked abuth ar aiatin alternatie uels hae cmein such a shrt time. That such uels arereal has been made clear by the many andsuccessul test fights and rig tests that haebeen cnducted, using a ariety uelsand eedstcks. This success can largelybe credited t t actrs, the shared isinthat aiatin alternatie uels need t beinterchangeable ith tdays petrleum-baseduels and cused research, deelpment andtesting uels arund that isin.

CAAFI determined early in its inceptin thatreplacing aircrat and aircrat engines t

accmmdate ne uels uld be cst-prhibitie, as uld haing t put in placehlly separate uel strage and delierysystems at airprts. The US military came tthe same cnclusin. Thus, cmmercial andmilitary stakehlders in the US hae largelycused their erts n alternaties that canbe drpped-in t eisting inrastructure,s-called drp-in uels. This cus has giendrp-in alternaties pririty in nearer-termresearch and unding, ith alternaties thatuld require ne aiatin architecture suchas hydrgen being addressed in the lngerterm research prjects.

with the US Air Frce gal t hae ne-hal its jet uel nnpetrleum-based bythe year 2016 and the US Nay gal tsupply 50% its ttal energy cnsumptinrm alternatie surces by 2020, the USmilitary serices hae undertaken signicantactiities in research and deelpment anduel appral and deplyment. Als, theFAA has dedicated sme its researchdllars under the Cntinuus Ler Energy,Emissins and Nise (CLEEN) prgrammer research and deelpment aiatinalternatie uels, hile US engine andairrame manuacturers hae undertakensignicant testing, in additin t that dneby uel prducers. T all researchers,uel prducers and ptential users t haecmmn understandings here a particular

alternatie is in its deelpment and helpcrdinate deelpment erts, the CAAFIcalitin deelped a uel readiness leel (FRL)ramerk tl. Cering uels rm cnceptthrugh ull cmmercialisatin and identiyingthe criteria and requirements the uels mustsatisy, this tl als helps determine hen aparticular alternatie is suciently beynd theresearch and deelpment stage t prceedt certicatin and qualicatin.

Cfcodqfco

Any alternatie jet uel must satisy theregulatry and standards-making rganisatinspecicatin requirements r jet uel. In theUnited States and much the rld, the

recgnised jet uel specicatin is set byASTM Internatinal. Until ery recently, ASTMD1655, Standard Specicatin r AiatinTurbine Fuels, as the nly ASTM jet uelspecicatin. Based n a prcess rardedby CAAFI stakehlders, an ASTM researchreprt assembled under the superisin the Emerging Turbine Fuels subcmmittee,and rigrus reie by engine cmpaniesand ther eperts, ASTM appred D7566,Aiatin Turbine Fuel Cntaining SynthesizedHydrcarbns. This specicatin allsr alternaties that demnstrate that theyare sae, eectie and therise meet thespecicatin and t-r-purpse requirementst be deplyed as jet uels, n a par ith uelsunder ASTM D1655.

The initial issue D7566 enables use uelsrm the Fischer-Trpsch (FT) prcess in upt a 50% blend ith cnentinal jet uel.FT uels can be generated rm a ariety eedstcks, including bimass (bimass tliquid) and natural gas t liquid, in additint cal t liquid and cmbinatins there.Mst critically, heer, the ASTM D7566specicatin is structured, ia annees, taccmmdate dierent classes alternatieuels hen it is demnstrated that they meetthe releant requirements. one such anne isr hydrtreated reneable jet (HRJ) blends(als reerred t as bi-deried syntheticparanic kersene, r Bi-SPK), ith ther


9/20

Case study

CobovcohPcfc

nohwsSustainable Aviation Fuels Northwest

(SAFN) is a regional initiative in the

Pacic Northwest o the United States

sponsored by Alaska Airlines, The Boeing

Company, the Port o Seattle, the Port o

Portland, Spokane International Airport

and Washington State University. These

organisations have convened a diverse

regional stakeholder group to determine

the easibility o developing regionally

sourced, sustainable aviation uels in

the Pacic Northwest.

This regional assessment is being

acilitated by the non-prot Climate

Solutions, which has coordinated a serieso workshops spread over nine months

and is working on a report refecting

the consensus recommendations. The

workshops, data analysis, and ongoing

working groups are contributing to a

nal report which will:

identify major barriers, opportunities

and options or development o a

sustainable aviation uels industry

in the Northwest;

examine and analyse potential

eedstock pathways available in

the Pacic Northwest to supply

sustainable aviation uels, including

oilseeds like camelina, orest residual

waste, algae, waste materials andsugars;

clarify the importance of evaluating

and demonstrating the sustainability

o biouel production and include a

ramework or applying sustainability

principles;

illustrate potential trade-offs among

various outcomes and alternative

pathways; and

evaluate the potential logistics and

compatibility issues related to the

introduction o sustainable biouels

at regional airports.

Through this process, SAFN stakeholders

will identiy a set o fight plans tocreate Northwest supply chains or

sustainable aviation uels. Importantly,

the project will look at how the biomass

and rening process can be used to

supply both biouel or use in aircrat

and biodiesel or use in ground-based

vehicles, ensuring that the most use can

be made rom the biomass possible.

The stakeholders represent a wide

range o interests, including aviation

leaders, biouel developers, growers,

orest managers, ederal, state and local

governments, industry associations,

environmental and conservation groups,

universities and industries.

PowERING THE FUTURE oF FLIGHT p.7PowERING THE FUTURE oF FLIGHT

alternaties (such as hydrlysis / ermentatin,ligncellulsic bicnersin, pyrlysis /liqueactin) t ll as data rm technicalealuatins is btained.

evom

A signicant drier r the deplyment alternatie aiatin uels is the benet theymay bring in reducing emissins rm aiatin,hether assciated ith lcal air quality

r glbal climate change. CAAFI and thergrups hae made signicant prgress incnrming the methdlgies r liecycleanalysis alternatie aiatin uels and insupprting r perrming case studies thatuse these methdlgies. T cperatieUS initiaties hae prduced signicantrk prduct in this regard. Fr eample,an interagency rking grup led by theUS Air Frce and crdinated ith CAAFIstakehlders deelped critical guidance nh t perrm liecycle emissins analysis raiatin uels. wrking ith that, researchersas the Massachusetts Institute Technlgy,unded under a partnership supprtedby many CAAFI stakehlders, prduceda cmprehensie case-study analysis n

ptential alternaties. This rk, as ell asrk n brader sustainability criteria, is beingurther adanced by the CAAFI EnirnmentTeam under t rk streams that areepected t urther rm up enirnmentalguidance that may help uel purchasersincrprate releant enirnmental criteriaint uture purchase agreements.

Bssscs

Fuel csts are a signicant prtin anairlines perating csts in many cases, thegreatest prtin. Gien that airlines typicallygenerate razr-thin prt margins een ingd years and incur substantial lsses inbad years any uel used by the airlines must

be cmpetitiely priced and reliably prided.US aiatin stakehlders are rking hard,thrugh CAAFI and ther calitins, t helpmake alternatie aiatin uels readily aailableand price-cmpetitie.

A key aspect t ensuring aailability theseuels is sending market signals that aiatinis a ready, illing and ptimal buyer. oneinitiatie in this regard has been the strategicalliance beteen ATA and the US military,thrugh its prcurement arm (the DeenseLgistics Agency). The US Air Frce cnsumesabut as much jet uel in a year as a mid-sizedairline uld. Heer, the cmbined demand US cmmercial airlines and the US military

amunts t mre than 1.5 millin barrels jetuel per day, a lume that is mre attractiet uel priders h als may be cnsideringsupplying ther uel users, such as grundtransprt. The strategic alliance alls rpling this demand and the cnsideratin

jint purchasing agreements, but als pridesanther mechanism r sharing eperience nuel certicatin and enirnmental impacts.

Already, t pre-purchase agreements r

aiatin biuels hae been annuncedbeteen US cmmercial airlines andalternatie uels prducers, ith mrecmmercial and military annuncementsin the rks.

A key t helping make alternatie aiatinuels price-cmpetitie ith petrleum-baseduels is t aail these uels (and the eedstcksthat g int making them) gernment andther incentie prgrammes. In July 2010, theUS Department Agriculture (USDA), ATAand Being signed a reslutin memrialisingtheir cmmitment t rk tgether n a Farmt Fly initiatie t accelerate the aailability a cmmercially iable sustainable aiatinbiuel industry in the United States, increase

dmestic energy security, establish reginalsupply chains and supprt rural deelpment.This initiatie is aimed at helping alignUS agricultural plicy, hich includesencuragement r gring energy crps,ith the interest the US airlines and militaryin sustainable alternatie aiatin uels. Issuessuch as aailability crp insurance, means reducing csts energy crp eedstcksand bi-renery pprtunities are amngthse cming ut this initiatie.

iobfs

while CAAFI started as a US initiatie, it nhas er 300 stakehlder participants rmall arund the glbe, alling r shared

eperiences and urther leeraging. Ntnly ill many the deelpments in theUS bring benets t the glbal market, butdeelpments elsehere ill urther stimulateUS initiaties. The key ill be t cntinue tlk r pprtunities r ecellence tgether.


10/20


Pan e ueo haia os bioobustibessustentabes e aiain en mioEpertise in aiatin biuels is being stered all er the rld.In Meic, a gernment agency hich prides jet uel t the natinsairprts is taking a lead rle in stering this imprtant green grthpprtunity. The challenges are the same as r a lt natins ithsimilar diersity landscapes and ecnmic prles, but it has t besaid that ith the Plan de vuel, Meic is engaging in an impressiedisplay jined-up thinking.

casestudy

The Meican Federal Gernment, llingthe bjecties that the internatinal aiatinindustry has established, has started anambitius prgramme actin t ensurethe deelpment and iability sustainableaiatin biuels in the cuntry. Thiscmprises an actie participatin ithin theICAo ramerk ia the Direccin Generalde Aernutica Ciil (DGAC, Meican Ciil

Aiatin Authrity), as ell as the designand implementatin a cmprehensiear-reaching rad-mapping eercise calledthe Flight Plan Tards Sustainable

Aiatin Biuels in Meic, crdinatedby Aerpuerts y Sericis Auiliares

(ASA, Airprts and Auiliary Serices).

ASA is the sle supplier jet uel in Meic,respnsible r all int-plane peratins andthe management er 60 uel arms in theMeican airprt netrk. In the glbal cntet,Meic represents 2% the rlds jet uelmarket, as it prides clse t 10 millinlitres a day r apprimately 2,300 fightscmprising hat culd be termed a smallbut big market.

when cnsidering its psitin alng the supplychain aiatin uel, being the last link gies

ASA a unique iepint rm hich it can actas the prmter and catalyst the budding

aiatin biuel industry in Meic. ASAspsitin as an intermediary client beteenPEMEx (Meics state-ned il cmpany)and the airlines, gies it an eceptinal leerith hich t pull all interested stakehldersalng the aiatin biuel alue chain.

thghp

The main idea behind the Flight Plan TardsSustainable Aiatin Biuels in Meic is tanalyse the eisting and missing links in thesupply chain r sustainable biuels. It issimilar t a rad-mapping eercise in that itlks int the market driers, the assciatedprducts and serices, and the technlgiesthat culd help an aiatin biuel industryget its eet. The main bjecties theFlight Plan are t diagnse the state in hichthe dierent parts the supply chain are, tinle all the interested stakehlders, andcmmunicate t sciety at large the benetsthat aiatin biuels can bring.

A series rkshps r the Flight Planere designed using a schematic ie the supply chain. Gien that the premise biuels is that they ill ler the carbntprint in cmparisn t ssil uels, therst rkshp as rganised t lk int thegeneral prblematic this type energy, andspecically t the sustainability issues thatneed t be bsered acrss the supply chain.

The ther rkshps ere rganised s thatall the pints acrss the supply chain culdbe analysed, including:

ra materials and etractin;

inrastructure and rening; and nancing, legislatin, lgistics

and distributin.

A t-prnged apprach as lledin hich specic subject matters ereaddressed, as ell as lking int crss-sectinal r lngitudinal themes that arepresent acrss the supply chain. The eercisestarted ith a cntact list arund 100 peple,and as it prgressed, it gre er 10 times ta netrk er 1,000 stakehlders. with anaerage audience 120 persns thrughutthis prject, all the principal actrs, as ellas gernmental, nancial, priate, academicand research institutins, gathered in thesame rum sharing their ideas, prpsals,eperience and cmmitment in this hugeglbal challenge. It is imprtant t nte that

in the design and implementatin the FlightPlan, ASA receied the supprt seeralrganisatins, especially rm The BeingCmpany and the Rundtable n SustainableBiuels (RSB).

ayssohsppych

Meic is the urth mst dierse cuntryin the rld ith 5,870,921 hectares ithhigh prductie ptential. The analysis the dierent eedstcks resulted in seeralcandidates that culd be deelped intsecnd generatin surces: jatrpha, castr,salicrnia, agae and algae. Mst theseplants are indigenus t the cuntry andhae been harested r many generatins

as they gr in the ild in many regins thecuntryside. In act, there is adanced biueleedstck prductin in a number Meicsstates, taking int accunt lcal speciesand mst suitable crps r each gringcnditin.

FeedstocksOil

productionRefining

Transport,distribution

and logistics

Into-planeoperations


11/20


Case study

BzacoavoBos

The Brazilian Alliance or Aviation

Biouels (Aliana Brasileira para

Biocombustveis de Aviao ABRABA)

was created in May 2010, with the

objective o promoting public and

private initiatives seeking development

o sustainable aviation biouels with

positive carbon liecycle and certication

according to local and international

uel standards.

Founding members o ABRABA include

members rom aviation, uel technology

and agricultural backgrounds: Algae

Biotecnologia; Amyris Brasil; Brazilian

Association o Jatropha Growers;

Aerospace Industries Association

o Brazil; Azul Linhas Areas; Curcas

Diesel Brasil; Embraer; GOL Linhas

Areas Inteligentes; TAM Linhas Areas;

TRIP Linhas Areas; and the Brazilian

Sugarcane Industry Association (UNICA).

ABRABA will act as a fagship institution

integrating the eorts o dierent playersand will support the use o sustainable

biouels as one o the key growth actors

or the aviation industry in a low carbon

economy. Integrating the Brazilian

renewable fuel experience and capability

with aeronautical technology expertise,

it will oster urther economic and social

development, as well as signicant

contribution to environmental protection.

For more inormation, visit the ABRABA

website: www.abraba.com.br

The prductin egetable il is an imprtanttpic, since much the installed capacity isunderused. Fr many years, the egetable ilindustry has been in n standby, as many the usual egetable il generating eedstckshae nt been prduced in Meic r smetime due t lack ater r adequate land.In the end, the il etracted t prducea biuel is independent the surce,

s the prmtin iable secnd generatinsurces is critical. one cnsideratin is theuse r the residual bimass that is prduced,and the secndary markets here it can beutilised. There is als anther imprtant issuet be cnsidered the current crude egetableil cannt meet the current specicatin r therening prcess, and s pre-rening is needed.

In terms the rening industry, Meichas histrically been handicapped in theprductin the necessary uels t eed therequirements its ecnmy. Heer, in theprductin jet uel, the cuntry has alaysbeen sel sucient. It is in the interest

ASA t guarantee the prductin aiatinbiuels, s that Meic has the capacityt meet its uture internal demand. ASAhas, therere, und an ecnmic case rplanning specic rening capacity. In act, by2020 ith the right unding structure in place,it is epected that up t ur aiatin biuelspecic reneries ill be perating in Meic,generating 800 millin litres sustainableaiatin biuel. There are imprtant legalbstacles that need t be ercme, as sme the by-prducts the rening prcess cannly be managed by the natinal il cmpany PEMEx. Beynd this, the current biggest

jet uel market in the rld is just nrth thecuntry, s any surpluses that are prducedill certainly nd illing buyers.

Tards the end the supply chain, the pinthere the blending the prduct ill takeplace ill depend n the capacity ASAsinstallatins, as dedicated inrastructure needst be cnsidered. This ill nt be a prblemin the beginning, but it is bund t sh smecnstraints as the industry deelps and asthe quantities aiatin biuel that need tbe blended becme signicant. The strage the prduct has als shn smechallenges, as the dierence in densitiesbeteen the biuel and the ssil uel haet be taken int accunt.

logdyss

As part the analysis the supply chain,cnsideratin as gien t seeral themesthat are present acrss the specic stages.These include the nancial, legal, andsustainability perspecties.

Frm the nancial perspectie, seeralinstitutins ere inited t gie their ideas

as t h the markets uld react t themeasures that are being implemented acrssthe glbe, such as the Eurpean UninsEmissins Trading Scheme, r the CleanDeelpment Mechanisms prmted by theUNFCCC. The impacts such measures aret be an integral part the nancial iability these types uels.

The legal perspectie as eplred t lkint the dierent clauses Meican la thatculd hae an impact in the deelpment this industry. The Meican Cnstitutin hasa legacy stringency ith respect t energycreated rm ssil uels, but there are nelas cering the grth bienergetics

that sh prmise, hich are still in theadancement stages.

The sustainability perspectie as addressedrm the iepint the ramerk pridedby the Rundtable n Sustainable Biuels(RSB). The tele principles ere analysedin detail, and the parallels ith the Meicanenirnmental la ere put int perspectie.

nxsps

The Flight Plan Tards Sustainable AiatinBiuels in Meic has pred t be aninaluable eercise t identiy the eistingand missing links alng the alue chain thisne type energy.

As ASA rks n putting tgether the pieces the puzzle t dene the successul pathMeic ill be lling in the net eyears, the results that ill benet Meicansciety, such as the reductin in greenhuseemissins, the prmtin agriculture inmarginal land, ne jbs, and a majr bstr a ne industry, are ell underay.

Ne lines research hae emerged and thechallenge is t nd the necessary undingt pursue them. This, tgether ith theimplementatin the dened actin itemsare the necessary net steps t ll sthat a necessary aiatin biuel industryis established in Meic.

CollaborationPSkyGmy

German airline Luthansa will be

undertaking the rst long-term trail o

biouel use in daily commercial fights

on an Airbus A321 between Hamburg

and Frankfurt for six months in 2011.

This city-pair fight will allow the industry

to study long-term aspects o biouel

use and supply. The project team

includes research institutes such as

Bauhaus Lutahrt and DLR and is backed

by the German government within

the ramework o its aviation research

programme.


12/20


Waste not, want notBiuel des nt alays cme rm crps. In innatie prjects that

sle seeral prblems at nce, British Airays and ther airlines haermed relatinships ith a cmpany hich ill prduce large amunts aiatin biuel by prcessing municipal aste reducing theindustrys dependence n ssil uels and at the same time reducingthe amunt aste in landlls.

casestudy

The British Airays and Slena partnershipas rmed in 2009, hen the t cmpanies

agreed t rk tgether t deelp aunique prject r Lndn. Slena, areneable energy technlgy cmpanybased in washingtn DC ered a pathayt sustainable aiatin uels by cnertingaste bimass int uels, reneable energyand heat. Althugh at the time, many biueldemnstratin fight trials had taken place, aull cmmercial-scale acility r reneable jetuel had nt been cnstructed. British Airaysbeliees that sustainable uels er a uniquepprtunity r aiatin t decarbnise erthe shrt-medium term.

The cnsumptin jet uel represents 99% British Airays carbn tprint and hilethe airline cntinues t implement sustainable

practices in ther aspects its business,a main cus n is n the jet uel thatpers aircrat and emits large lumes greenhuse gases. This is the area r changethat ers bth the biggest pprtunity andchallenge. British Airays has an ambitiustarget t reduce net carbn diide emissinsrm its business by 50% by 2050. It is hpedthat reneable sustainable uels ill help tachiee this gal.

The ptential r releasing the energy lckedup in the UKs aste has been a prirityr sme time. The UK Department rEnirnment, Fd and Rural Aairs (DEFRA)has a aste strategy r England hich

says: recering energy rm aste hichcannt sensibly be recycled is an essentialcmpnent a ell-balanced energy plicyand [DEFRA] epects energy rm astet accunt r 25% municipal aste by2020/21.

waste is a signicant prblem r Lndn,here almst hal the citys ur millin tnnes municipal aste is sent t landll, tentransprted lng distances t the dispsalsite. The Greater Lndn Authrity sees greatptential in recering energy rm aste andthe Mayr prpses a zer aste t landlltarget by 2025.

thchoogy

Slenas patented plasma technlgy isable t cnert all rms bimass intclean reneable energy. operating at ery

high temperatures, the system can cnertirtually any type rganic material, includingaste (e.g. d aste rm husehlds andbusinesses) agricultural and restry residues,int energy.

The technlgy is uel feible s as athermal cnersin platrm it can cnert

l-alue hydrcarbn-bearing bimass inta reneable bisynthetic gas (r BiSynGas).Planned input capacity r the plant is 500,000tnnes aste per year.

Linked t a Fischer-Trpsch unit, theBiSynGas is then cnerted int biuels tprduce 1170 barrels aiatin biuel and630 barrels binaphtha per day. Using GEper generatin systems, the Slena Plantill prduce 20 Mw net green reneableper, hich can be sld t the lcalelectricity supply grid.

Ecess steam may be prduced and utilisedin a district heating system. Thus, the plantcan benet its neighburs and hae a majr

eect n Co2 and greenhuse gas reductin.

The prcess generates n harmul pllutinr tic ash. The nly aste by-prduct isan inert glass-like material, hich is an idealalternatie building aggregate, thus reducingthe reliance n natural sand and grael ne the glbes natural depleting mineral assets.

Breakdown of Londons municipal waste

management methods in 2008/9

Landfill

49%

Recycling/

composting

25%

Incineration

23%

Other

3%

Jetfuel

Bio-diesel

Fuel gas

Fuel gas

High heatincinerator

Heatexchange

Fischer-Tropschprocess

Steamturbine

Vitrified glass and

recycled products

Biomass

Steam

Electricity

Can be fed intothe national grid.

Can be used for localheating distribution.


13/20


Case study

aodmpossbvo

sdowd

In Australasia, the Sustainable Aviations

Fuels Road Map project has been

developed in collaboration with the

Australasian section o the Sustainable

Aviation Fuel Users Group (Air New

Zealand, Boeing, Qantas, and Virgin

Blue) together with the Deence

Science and Technology Organisation.

The project is being coordinated by

Australias national science agency, the

Commonwealth Scientic and Industrial

Research Organisation. SAFRM is a

comprehensive regional assessment,

examining all phases of developing a

sustainable biouel industry, including

biomass production and harvest, rening,

transport inrastructure and actual use

by airlines. Participants are working to

identiy the barriers, opportunities and

implications o producing sustainablebio-derived jet uels at scale, including:

commercial viability;

environmental sustainability;

alternative biomass feedstocks suitable

or growing in that particular region;

key policy, commercial and research

actions needed.

This assessment draws on the

diverse expertise of a broad range of

stakeholders to map out uture scenarios,

including biomass producers, reners,

airport operators, environmental and

government organisations, airlines,

academic representatives, and airline

and engine manuacturers.

Whmkshspojcd?

A number energy-rm-aste prjects arebeing deelped in the UK at the mment.This ne is dierent r a number reasns:

It is nt a cnentinal aste t energyacility, a chemical plant r a renery. It isa clean reneable net generatin aiatinbiuel prductin acility prcessed rmaste and bimass aste.

The uel ill hae l liecycle greenhusegas emissins up t 90% less than theemissins assciated ith ssil kersene.

The end uel ill be cleaner burning thankersene (zer sulphur and l armaticcntent prduce less st and neparticulates), priding air qualitybenets hen the uel is burned.

A zer aste philsphy means that allmaterials are recycled, cnersin carbn-based materials is in ecess 99%, there is n bttm ash r fy ashand nn-carbn based materials arecnerted int itried slag r use in the

cnstructin industry. Gasicatin and Fisher-Trpsch

technlgies are pren prcesses beingemplyed rldide. Slena is deelpingsimilar plants in the US States, as ell asin ther cuntries. Imprtantly, theSlena / British Airays partnershipis priding the rst such plant tprduce biuel in Eurpe.

British Airays ill directly use the aiatinbiuel and is ming int a cntractualrelatinship t purchase the uels prduced.

It ill be a rld-class deelpment and therst its kind in Eurpe. The end prductis a real alternatie t ssil uel r theaiatin industry and thus has a lng-termiable uture.

Innatie design and technlgy meansthe plant ill be energy sel-sucient andsustainable in its n right.

thxsps

The prject partners plan t lcate the acilityin East Lndn, clse t the surce theaste and clse t British Airays peratinsin the Suth East (the nearest airprt isLndn City, rm hich British Airays runsbth shrt- and lng-haul serices). Duringcnstructin, the prject ill generate arund1,000 jbs in Lndn. Frm 2014, henthe plant is in ull peratin, 200 permanent

jbs ill be created. This ill be the rstdeelpment its kind in Eurpe, and shuldpride a pren pathay r a number ther glbal cities t generate aluableresurces rm aste.

At the time of this publication going

to press, Solena had already signed

biofuel plant initiatives with British

Airways, Qantas and Alitalia airlines.

Collaboration

SsbBogyrsch

C

This consortium in the United Arab

Emirates involving Boeing, Etihad

Airways and Honeywells UOP, and

hosted by Masdar Institute o Science

and Technology drives technological

development in arid land and saltwater-

tolerant terrestrial biomass.


14/20

A assie opportunit ies ust of shorecasestudy


Smetimes, the biggest breakthrughs cme rm surprising places.

Arund the rld, the aiatin industry, academic institutins and biuelcmpanies are rking tgether t accelerate the deelpment ne the mst prmising surces aiatin biuel in the lng-term themicrscpic and ubiquitus plants that can be grn almst anyhereknn as algae.

It is idely agreed that the cntributin ssil uels t glbal climate change is amajr issue that industry and sciety hast urgently address. Bimass rm micr

algae has been demnstrated at labratryscale t be a iable surce l carbnbi-uel r aiatin. The challenge ahead ist industrialise this prcess at a ery largescale s that its utputs can begin t makesignicant cntributins t glbal aiatinuel needs. And yet the demands n scarceland and resh ater rm aquatic bimasscultiatin must be kept t an absluteminimum r aided altgether.

The Sea Green prject is a near-shre cean-based acility r the sustainable prductin large lumes bimass r aiatinbiuels. It is designed t use the epanse the rlds near shre ceans t rapidly gr

micr algae as biuel eedstck at a asterrate than any ther initiatie and captureCo2 rm the atmsphere and seas at thesame time. The Sea Green cncept uldenisage ery large fating structures t beplaced in the cean clse t shre n hichthe cultiatin micr-algae uld ccur.This can be dne in an enirnmentally-riendly, sustainable acility ith a negatiecarbn mechanism that des nt cmpeteith agricultural land, des nt require reshater and des nt damage the enirnment.

once the micr-algae hae been cultiated,they ill be sent r prcessing much like anyther bimass n land.

thbfsomovgo-sho

As a prject, Sea Green is unique in cmbiningtechnlgies r ery large fating structuresith micralgae cultiatin, deliering majradantages hen cmpared t cnentinalland-based aquaculture. The use an -shre acility uld mean higher bimassprductin and reenues using ler energybecause bimass mement is achieed byharnessing cean currents. The technlgycan be scaled up r dn ery easily,t pride r lcal uel needs. And,because it can use cnenient cean,sea r een suitable lake lcatins, thereis n requirement t use scarce agricultureland r resh ater resurces.

It is estimated that the cncept ill be ablet prduce 35 times mre bimass thanagriculture energy crps, tice as muchbimass as land based aquaculture and

additinally is mre energy ecient thrughharnessing the agitatin and nutrienttransprt benets cean aes andcurrents. Sea Green als mitigates againstmany the recgnised issues arising rmthe cnentinal land-based methds prducing bimass. The adantages ariserm ur ptential scenaris:

securing lcally prduced biuel as astrategic asset r uel surce diersity;

selling harested bimass t be prcessedint biuels r speciality prducts;

sharing intellectual prperty rights reenuerm licensing the Sea Green design amily;

reducing pressure n scarce land and resh

ater resurces.

Bgghcocpo

T make this isin a reality requires a stagedprcess testing, scale up, pilt plant andprductin plant cnstructin ith all keystakehlders actiely engaged rm theutset. The stakehlder engagement is beingachieed by the rmatin a SustainableUse Reneable Fuels (SURF) cnsrtiumthat ill take a structured apprach taddressing e majr cnsideratinsr the successul use biuels rm areneable surce like micr-algae. These illinclude: enirnmental impact; prcessing;capacity and distributin; cmmercial andlegislatin and regulatin. Specic studiesill lk at uture sustainability mdelling andenirnmental liecycle assessment. Frmatin the Cnsrtium as annunced at the

Aiatin & Enirnment Summit in Geneain September 2010. SURF is made up

Airbus, British Airays, Rlls-Ryce, Finnair,Gatick Airprt, the Internatinal Air Transprt

Assciatin and Craneld Uniersity.

The Sea Green prject is undertaking stagedscale-up and industrialisatin a prcessr large-scale fating bimass prductinrm micr-algae. Mdelling and rnt end

engineering design actiities hae beencmpleted by Craneld Uniersity.The sub-sequent staged prcess hasthe lling steps:

labratry testing at the 1-litre t 10-litrescale t dene erall perrmanceparameters;

testing in a small-scale pilt acility nthe Craneld Uniersity campus hich isgring and prcessing algae r biuelsat the 1000-litre scale;

prductin quantities aiatin biuelat apprimately 10,000-litre scales r itsuse as cmmercially aailable test samplesr engine testing;

deelpment and cnstructin a largerscale prductin acility t initially meet theneeds a specic aiatin market sectr say r business aiatin.

It is enisaged that the rst cmmercialquantities prducts rm Sea Green illbecme aailable ithin three years.


15/20

Te si eas steps to rowin a iabeaiation bioues inustrMany o the technical hurdles acing aviation in its move towards sustainable

aviation biouels have now been overcome and much o this work has been

achieved within the industry. Now, commercialisation and scaling up o the

supply o aviation biouels is the most important task.

As shown in the selection o case studies in this publication, the industry has been orging ahead with pilot projects in a number o countries worldwide.

But airlines and the rest o the industry cannot do it alone political support and fnancial investment will have to come rom a number o stakeholders.

This section outlines six suggested steps that policymakers can consider in helping their air transport system grow with less carbon-intensive uel, whilst

in many cases also investing in green growth jobs and a new sustainable industry. These steps are presented in no particular order:


1 FosschowdsocksocsdfgpocsssThere are many dierent types eedstckand pathays that enable eedstck tbe cnerted int biuel, and imprtanttechnlgical deelpments ill unlck stillmre pathays. Early generatin biuelsused eedstcks deried rm d crpssuch as rapeseed and crn. Heer, theseeedstcks can be used as d r humansand animals, raising imprtant questinsabut their sustainability. In respnset these cncerns, the industry isn cused n eplring the use adanced-generatin biuel surcesthat are truly sustainable.

Seeral pathays are being cnsidered rthe deelpment sustainable aiatinbiuel and these are illustrated bel.

The industry is unlikely t rely n a singleeedstck. Sme eedstcks are bettersuited t sme climates and lcatinsthan thers. Therere, it is epected thatultimately there ill be a prtli biuelsurces deelped and a ariety reginalsupply chains.

Much the current research anddeelpment rk n alternatie uelsis cused n bidiesel and biethanlprjects r land transprt. Ultimately,this ill delay land transprts sitch tmre sustainable energy surces, suchas electricity and hydrgen uel cells.

Policy enablers include establishing unding

programmes or academic research

through existing or new university, research

institution or industrial research projects,

broadening or re-ocusing university

research o biouels to include aviation-

specic projects.

2 D-skpbcdpvvsmsvobosT be ecnmically iable, sustainableaiatin biuel must be priced at a leelthe market ill nd acceptable. At present,aiatin biuel is nt cst cmpetitie ithcurrent jet uel. Heer, traditinal jet uelis recast t becme mre epensie. Bycntrast, sustainable aiatin biuel illbecme less epensie as the industrydeelps. Plicies incentiising biueldeelpment and use can hasten thistrajectry and achiee greater emissinsreductins in a shrter timerame.

A better appreciatin the scpe r

reductin in the price sustainable aiatinbiuel is gained by eamining the cstdriers. Fr the technlgy pathay that isnearest cmmercial iability, it is estimatedthat 85% biuel prductin csts relatet the cst eedstcks. As the technlgyt harest and prcess these eedstcksprgresses, as agrnmy and plant breedingprduce cultiars ith better, mre rbustyields, and as sustainable bimass becmeaailable in cmmercial quantities the priceill drp. In act, since aiatin biueltesting started a e years ag, pricesr these eedstck inputs hae alreadydrpped signicantly. Supprt r research

Hydroprocessing

Dehydration / Oligomerisation

Biological conversion

Gasification

Pyrolysis

Hydroreforming

Other

Oilseeds

Biomass

Sugars

Algae

Aviation

Trucking

Marine

Co-products

and deelpment ill enable cntinuedimprements r eedstck pathays.Prductin is the secnd majrcmpnent the ttal cst the uel.The il industry has already establishedrening inrastructure and thus currentlyhas a limited need r additinal capitalinestment. Heer, in the case sustainable aiatin biuel, the prductininrastructure has yet t be deelped andsme hat needs deelping culdbe synergistic ith eisting petrleuminrastructure, but nt all.

There are als signicant subsidies in placer bidiesel prductin in Eurpe and the

US, hich culd hamper the establishment aiatin biuel prductin.

These incremental upront capital

investment costs are a potential barrier

to commercialisation. In this context,

governments can play a role in reducing

this risk through measures such as loan

guarantees, tax incentives, grants and

co-nancing or pilot and demonstration

projects. They can also provide a level

playing eld with biodiesel by providing

similar scal and price incentives in order

to catalyse establishment o the sector.

Adanced aiatin biuels ill cme rm a range eedstcks and prcessing methds. They shuld be

priritised r aiatin and ther heay transprt uses er thse rms transprt that hae alternaties

such as electricity.


16/20


4 ecogskhodsocommoobsossbycSustainability standards are being

established that ill pride suppliers,inestrs and custmers ith clearguidelines as t hat is cnsidered tbe a sustainable biuel. Fr eample,in the EU, the Reneable Energy Directie(RED) cntains specic criteria addressingthis. The Sitzerland-based Rundtablen Sustainable Biuels (RSB) has asustainability standard deelped thrugha multistakehlder prcess that ensures thesustainability prductin, prcessing andimplementatin. Sustainability is nt justa matter the chice eedstcks it is als a matter h they are cultiated,harested, prcessed and transprted.

Sme key sustainability criteria r aiatinuels culd include the lling elements:

ill nt displace, r cmpete ith, dcrps r cause derestatin;

minimise impact n bidiersity; prduce substantially ler lie-cycle

greenhuse gas emissins thancnentinal ssil uels;

ill be certied sustainable ith respectt land, ater and energy use; and

delier psitie sci-ecnmic impact.

As a glbal transprtatin sectr, aiatinneeds a harmnised standard t ensurethat sustainability criteria are enrceableand equally applied acrss the industry.

A patchrk standards uld inhibitthe deelpment a cmmercially iablemarket. while there are myriad standardsin place, bth regulatry and luntary, acritical element ill be r aiatin biuelstakehlders t enable greater cperatinbeteen standards t increase transparency,decrease the cst cmpliance, increaseend-user isibility t the bimass, andincrease the incenties r net generatinuel pathays. It is als ital that a uniedaccunting structure be established t eriythe rigin and sustainability credentials biuels r aiatin.

The development o an accepted set o

globally harmonised standards will help

ensure that investment is directed at biouels

that meet acceptable sustainability criteria,

thus minimising this orm o risk. Criteria

need to be mutually recognised around

the world. For aviation, global standards

are needed wherever possible, due to

operational routing o aircrat, common

global equipment and worldwide uel

purchasing requirements.

Case study

am-skhodppochBz

JETBIO, a Brazil-based company

specialising in biouels projects, is

leading the development o an integrated

project aimed at producing and supplying

sustainable aviation biouel to airlines.

The initiative is supported by TAM Airlines,

Airbus, AirBP and Bio Ventures Brasil.

The project addresses the Implementation

o a sustainable aviation biouel value

chain, bringing together the key players

to oster:

jatropha research and developmentor locally adapted elite cultivars

and scale-up;

logistics optimisation;

installation of aviation biofuel

production capacity by 2013; and

lifecycle carbon emissions analysis

and sustainability studies o the

value chain.

JETBIO has adopted a multi-eedstock

approach or aviation biouel production,

ocusing on the development o cost-

ecient and sustainable sources such as

jatropha and sugar-cane derived biomass.

In the mid- to long-term, once scale

and costs reach adequate levels, these

alternatives will gradually replace currently

available eedstock.

The Southeastern region o Brazil was

selected or the construction o the

renewable jet unit, as it represents at least

60% o the jet uel and 40% o the diesel

consumption in the country. Furthermore,

the region benets rom nations best

logistics and industrial inrastructure.

The project aims at starting aviation

biouel production by the end o 2013 to

supply initially the So Paulo and Rio de

Janeiro airports, rom where a majority

o international fights operate in Brazil.

3 PovdcvsososbosomysgI a plicy r incentie mechanism is a key

part making reneable energy prjectecnmics attractie, changes t theseactrs pse a risk: a lng-term, stable plicyregime ith a sund legal basis is essentialr serius inestment t take place.

Unlike sme ther reneable sectrs,sustainable aiatin biuels are nt subjectt eed-in-taris r mandates. The EU ETSis a plicy mechanism that may incentiisesustainable aiatin biuel deelpment, butthe price il is a ar greater drier s itsimpact ill prbably be limited in the near-term. The market r sustainable aiatinbiuels is primarily drien by ther actrsincluding reducing dependence n ssiluels and impring the carbn tprint the industry. Cnsequently, sustainableaiatin biuels are subject t ery limitedplicy risk.

Policymakers can oster development o

aviation biouel by recognising the unique

role it can have in reducing the aviations

environmental impacts. Aircrat cannot use

alternative renewable energy sources

available to other sectors such as plug-in,

wind, solar or hydroelectric power. Thus,

crating policies that create a level playing

eld or biouels vis--vis other energy

sources, and aviation vis--vis other

sectors, is a key element in aviation biouels

commercialisation.


17/20

5 udsdocggowhopposSustainable aiatin biuel desnt nly bringenirnmental benets r aiatin, it can alsster the deelpment a ne industry.Gien the diersity eedstcks that aiatinis cnsidering, there are e places n earththat culd nt supprt sme deelpment a ne, sustainable, energy industry. Thesecan range rm gring large quantities

jatrpha, halphytes r camelina in the mstapprpriate enirnments, t establishment algae arms n land r -shre, t

smaller scale biuel acilities in citiesutilising municipal aste.

By bringing the aviation industry,

government, biouel, agriculture and

academic expertise together, analyse the

optimum opportunities that exist in your

country or aviation biouel production

including the most eective eedstock

sources and inrastructure requirements.

A number o regional development banks

are also working on ways to encourage the

process. The contacts at the back o this

publication may provide advice or how

to get this process started.

6esbshcooscompssg

psohsppychEperience has shn that there are manybenets t be gained rm cllabratinacrss the arius stakehlder grupsinled in all aspects aiatin biuelprductin and use. These grups can bringtgether parties that hae nt traditinallyneeded t rk tgether, such as:

Airlines, airprts, aircrat and enginemanuacturers;

Academic institutins; Fuel rening cmpanies; Agricultural cmpanies and armers

grups;


Lcal, reginal and natinal Departments Agriculture, Deence, Transprt,Ecnmic Deelpment and Enterprise;

Regulatrs aiatin, transprt andagricultural;

Chambers cmmerce and industry; Enirnmental and sustainable

deelpment NGos.

Thrughut this publicatin are eamples stakehlder-riented prcesses, all hich are grups reginal and natinalstakehlders, h hae cnened trk thrugh the sustainability, supply,inestment and lng-term planning issuesand maimise the pprtunities ithintheir respectie regins.

within cming years, many signicantcmmercial, plicy and sustainabilityutcmes ill result rm suchcmprehensie reginal stakehlderprcesses. These prcesses sere tenable cmmercial parties, hile als giingcndence t gernments and ciil scietyrganisatins that sustainable aiatin uelserts are lling a cntemplated path.

Those seeking to better understand

potentials or this industry should engage

with the processes identied in thispublication to understand next steps

in each region.

Case study

tsgogoc

A number o test and demonstration

fights have taken place on commercial

jet aircrat in the past ew years,

but none yet on turboprop regional

aircrat. Canadian aircrat manuacturer

Bombardier is part o a group

o companies working towards

demonstrating the use o camelina

seed oil in a Q400 aircrat in 2012.

The project is being supported by

Sustainable Development Technology

Canada, an agency created by the

Canadian Government. Each o the

partners in the consortium is working

on a dierent aspect o the project:

Targeted Growth Canada leading the

consortium and crop optimisation and

growth;

Sustainable Oils pre-rening the

camelina oil;

Honeywell UOP secondary renery

to aviation biouel;

Bombardier and Pratt & Whitney

Canada technical evaluation;

Porter Airlines providing the aircraft.

Camelina provides benets over

traditional petroleum-based uel because

it reduces greenhouse gas emissions by

up to 80%, reduces sulphur dioxide and

is not competitive with ood production

because it can be grown in rotation

with wheat and on marginal land.

The strategic benet to armers is

that it allows them to drive additional

revenue rom acreage with a low-cost

input crop with two end user markets

the oil or uel and meal or livestock

and dairy industries.


18/20


The aviation industry has established a plan or reducing emissions.

Sustainable aviation biouels are an important part o that plan and, asyou will have seen in this publication, the industry and its partners have

made signifcant progress. There is confdence that biouels can be a very

signifcant part o every airlines uture. From policymakers, the industry

is looking or encouragement and the right set o legal, fscal and policy

responses to ensure this exciting new energy stream can bear ruit as

quickly as possible.

Case studyFscmbovch

eop

Airbus and TAROM Romanian Air

Transport together with a group o key

stakeholders have established one o

Europes rst projects aiming to establish

a sustainable aviation biouel processing

and production capability. The Romania

based project aims to provide a biouel

made rom camelina as a sustainable

substitute to ossil based jet uel.

The project is developed by a consortium

o partners led by TAROM, and joined

by Honeywells UOP, CCE (Camelina

Company Espaa) and Airbus. UOPcontributes aviation biouel rening

technology and knowledge, CCE

contributes knowledge on camelina

agronomy, including technologies on

camelina growth, agricultural monitoring

networks and plant science, and Airbus

contributes technical and project

management expertise while sponsoring

the sustainability assessment and lie

cycle analysis studies.

The rst part o the project is ocused

on easibility studies on agricultural,

technological and aeronautical

development and sustainability

assessment.

The project will also assess the existing

rening acilities in order to identiy

the Romanian production capability.

The eedstock chosen or this project

is the camelina plant due to its energy

potential, its rotational crop qualities,

its green house gas reduction eciency

and low water requirements. Camelina

is indigenous to Romania, it can be

readily armed and harvested by amily

armers and has a high quality animal

eed by-product.

Case studyFsg-scgbov

ch

Qatar Airways, together with Airbus,

Qatar Petroleum, Qatar University

Science and Technology Park and Rolls-

Royce have come together as partners

in the Qatar Advanced Biouel Platorm

(QAPB) consortium to develop the rst

large-scale algae bio-jet uel value

chain in the world.

The rst part o the project was a

research and technology study on

local micro-algae species made by Qatar

University and the development o a

lab-scale biouel production acility.

Currently, the project is being developed

rom lab-scale to the demonstrator-scale.

This part o the project will take 18 months

to put in place, with a substantial

multi-million dollar investment.

Importantly, the CO2 required or the

algae growth is being captured rom a

Qatar Petroleum renery. The chosen

location or the demonstrator plant gives

the possibility to scale up to commercial

scale once the concept has been proven.

An important part o the project is around

knowledge transer. The knowledge

gained rom the project will be usedby Qatar University in order to develop

a bioengineering course.

The QAPB is the rst large-scale

production o algal eedstock to be

transormed into bio-jet uel in the world.

Case studyJsdoossbvo:

SkynrG

Following a KLM biouel demonstration

fight in 2009, the airline joined with

North Sea Group and Spring Associates

to launch SkyNRG. A joint venture with

a single mission to make the market

or sustainable and aordable aviation

uel. Although all players believe

cost will eventually decrease when

technology and scale advances, the

ounding companies realised a just do

it now attitude was required to speed

up this development. In this light, rst

commercial volumes are essential in

engaging investors, governments,NGOs and customers and to accelerate

a market tipping point.

To create these rst volumes, SkyNRG

has taken a downstream, bottom-up

approach and are aggregating demand

rom aviation players across the world.

They literally help make the market

by delivering a ull eedstock to fight

proposition that will help establish green

routes across the world, whilst doing

everything possible to keep it aordable

or the customer by smart supply and

partner strategies.

On top o selling and promotingsustainable aviation uel, SkyNRG is

putting a lot o eort in guaranteeing

sustainability as they believe it to be

the most crucial actor in making this

emerging market a success. Next

to their Roundtable on Sustainable

Biouels partnership they have also

installed an independent Sustainability

Board consisting o leading NGOs

and scientists advising on all eedstock

and technology decisions.


19/20

contats an urther reain

abs

.airbus.cm/innatin/uture-by-airbus/alternatie-uel

atspoassocooamc(ata)

.airlines.rg/Enirnment/AlternatieFuels/Pages_Admin/AlternatieFuels.aspaoposySvcosaxs,dpd

gcyohMxcGovm

. asa.gb.m/b/ebasa/asa_cmbustibles

Bog

.being.cm/abutus/enirnment/inde.htm

Bombd

.bmbardier.cm/en/aerspace

CFMio

.cm56.cm/cm-alue/enirnment/alternatie-uels

CommcavoavFsiv(CaaFi)

.caa.rg

CfduvsyCtchoogsSchoooegg

.craneld.ac.uk/aerspace/inde.html

emb

.embraer.cm/en-US/amb-respnsability/Pages/Hme.asp

Geavo

.geaiatin.cm

ioatspoassoco(iata)

.iata.rg/hated/enirnment/Pages/alternatie-uels.asp

HoywuOP

.up.cm/prcessing-slutins/biuels/green-jet-uel

P&Why

.p.utc.cm/gn-et-templating//inde.jsp?gnetid=91a2d544b5ac0210vgnvCM100000462529RCRD

ros-royc

.rlls-ryce.cm/ciil/custmers/uelling_debate.jsp

rodboSsbBos

http://rsb.epf.ch

SsbavoFussGop(SaFuG)

.saug.rg

The aiatin industry has built up signicant epertise in the area alternatie uels. I yu are interested in receiing urther inrmatin rresearching the ptential r gring a sustainable aiatin biuels industry in yur n cuntry, these rganisatins may be able t assist.

SsbavoFsnohwsPojc:www.climatesolutions.org/programs/aviation-biouels-initiative

FmoFy:www.airlines.org/Energy/AlternativeFuels/Documents/armtoFlyPresentation071410.pd

rschdppsovobos:www.climatesolutions.org/programs/aviation-biouels-initiative/san-

bibliography

Bosgsmmypo:www.saug.org/assets/docs/biouel-testing-summary.pd

GSksthkg,poookgwhyvoshodbpoysobosbyhuKogsoPocyexchg:www.policyexchange.org.uk/publications/publication.cgi?id=129

rpoohcyccbossssmocm:http://onlinelibrary.wiley.com/doi/10.1002/ep.10461/ull

iataavFsrpo:www.iata.org/ps/publications/pages/alternative-fuels.aspx

rpoohcyccbossssmojoph,a YaleUniersity study cnducted ith unding rm Being hich undertkthe rst sustainability assessment jatrpha using real rld eld datarm actual jatrpha arms. The results n liecycle carbn assessmentare in this abstract:

http://pubs.acs.org/doi/ull/10.1021/es1019178

GovmsuqroSsbavoBo:www.saug.org/assets/docs/SAFUG_Brochure.pd

Psspoohcyccbossssmobosomhophys:www.thenational.ae/news/uae-news/environment/plant-seeds-could-

produce-jet-uel

Compvcbobfsosgbomssvovsgodspovspowgo:www.future-science.com/doi/abs/10.4155/bfs.10.70?journalCode=bfs

amcisoaocsdasocsppobo-SPK:www.newairplane.com/environment/#/SustainableAviationBiouel/SustainableBiouel

aSasFghPoBosMxco:http://plandevuelo.asa.gob.mx

thksbow,dmo,cbodwww.vo.o/bos/c


20/20

atspoacoGop33rodaopo

P.O.Box491215Gv15Swzd

t:+41227702672F:+41227702686www.g.og

[email protected]

www.onbioues.or