Air NZ and NZ government to invest over $2m in sustainable aviation fuel studies

Air NZ and NZ government to invest over $2m in sustainable aviation fuel studies

Air New Zealand and the New Zealand Government have today announced a $2 million plus investment in next-phase studies to consider the feasibility of producing sustainable aviation fuel (SAF) in Aotearoa.

The announcement, including a commitment of more than $1.5 million from Air New Zealand and $765,000 from the Government, was made today at the launch of the draft Tourism Environment Action Plan, hosted by Air New Zealand and attended by the Minister of Tourism, Hon Peeni Henare.

SAF is made from waste feedstocks, like forestry residues, municipal waste, or used cooking oils, and can be ‘dropped in’ to existing refuelling systems for current aircraft without any modification. The inputs and processes used to make SAF result in significantly lower lifecycle greenhouse gas emissions than fossil jet fuel.

This new investment follows an earlier yearlong RFP process that invited innovators to demonstrate the viability of operating a SAF plant at a commercial scale in New Zealand.

The airline, along with Government officials, evaluated proposals from multiple international SAF producers to understand what technologies are available globally and how these could be transposed into the New Zealand context.

Moving into phase two, the working group is progressing with two proposals: one with LanzaJet and another with Fulcrum Bioenergy, both US-based.

The next phase will further evaluate the technical, economic, supply chain, and environmental feasibility of establishing and operating a SAF production facility in New Zealand.

Air New Zealand chief sustainability officer, Kiri Hannifin says the airline is grateful for the support from the Government to progress work considering the viability of SAF production in New Zealand.

“Our climate is worsening at a rate far faster than predicted. We all need to take immediate and drastic action to protect what we love, including our land, and all that depends on her.

“So much of what we rely on in Aotearoa is based on our magnificent natural assets including tourism and food production.”

“Air New Zealand has a significant role to play in transitioning our economy to a lower carbon future and flying with SAF is a key part of this transition.”

“Globally, SAF is in very high demand but limited supply. Commercially producing SAF in New Zealand would not only help lower the country’s emissions while creating jobs, regional economic development, and Māori and Iwi investment opportunities, but also provide energy security and energy independence which is something New Zealand doesn’t have.”

The second stage of the SAF feasibility work will continue through to early 2024.

Latest News

  • Aviation

Low-cost Indian carrier SpiceJet continues to burn cash

It’s not just low-cost Australian carriers that are facing hardship. SpiceJet, India’s version of Bonza, recently announced a 72 per cent reduction in its net loss versus last year. But, despite this improvement, the airline has posted losses for six straight years. But it has secured board approval to raise up to INR 30 billion […]

  • Attractions

SAKA Museum recognised in TIME magazine’s World’s Greatest Places 2024

AYANA Resort Bali’s newly-opened cultural and events centre, SAKA Museum has been recognised in TIME magazine’s World’s Greatest Places list for 2024. Part of AYANA Bali’s resort destination, the museum integrates Bali’s rich history with state-of-the-art facilities, making it the centrepiece for the island’s spiritual and cultural heritage. TIME magazine’s inclusion of SAKA Museum in […]

  • Cruise

Silversea taps Barbara Biffi as senior vice president for global sales

Ultra-luxury and expedition cruise travel brand, Silverseas, has announced Barbara Biffi as its new senior vice president of global sales. Biffi joined the company in 2007, holding numerous positions and gaining a deep understanding of the brand, the preferences of its guests and its strategic goals, the company said. An Italian national with a wealth […]

  • Technology
  • Travel Agents

Amadeus welcomes FCM Travel as new reseller partner of Cytric Easy

Cytric Easy, the travel management tool embedded in Microsoft Teams, is to be integrated into FCM Travel portfolio. Amadeus and FCM Travel have extended their Cytric distribution agreement to include Cytric Easy. With this new agreement, global travel management company FCM Travel, becomes a reseller of the innovative travel management collaboration solution embedded into Microsoft […]