Ethanol Industry, Airlines Urge New Standard for SAF CO2 Accounting | Aviation International News

Regulations and Government

Ethanol Trade Urges New Standard for SAF CO2 Accounting

The group is petitioning for the adoption of another method of assigning tax incentives

Airliner taking off behind SAF tanker — United Airlines and sustainable fuel producer Gevo were two of the approximately 70 signatories to a letter to the Biden administration this week requesting a switch from the ICAO formula for determining Ethanol-derived SAF's lifecycle CO2 emissions to one established by the U.S. Department of Energy. (Photo: Avfuel)

By Curt Epstein • Business Aviation Services Editor

November 1, 2023

Members of the U.S. ethanol industry, along with several airlines and other aviation companies, sent a joint letter to the Biden Administration on Wednesday demonstrating their support for tax incentives on sustainable aviation fuel (SAF) derived from corn ethanol.

Under the Inflation Reduction Act (IRA) of 2023, SAF producers are required to use a carbon lifecycle assessment developed by ICAO to determine their qualification for SAF production incentives. According to the letter’s signatories—which include Boeing, GE Aerospace, major U.S. airlines, Honeywell UOP, and Gevo—the legislation’s language left room for the use of “any similar methodology” in determining the sustainability quotient derived from corn-based SAF.

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