The market for sustainable aircraft fuel continues to grow, and the biofuel industry hopes it will replace biofuels usage as vehicles consume smaller volumes in the future.
The market for sustainable aircraft fuel continues to grow, and the biofuel industry hopes it will replace biofuels usage as vehicles consume smaller volumes in the future.
Transcript
The market for sustainable aircraft fuel continues to grow, and the biofuel industry hopes it will replace biofuels usage as vehicles consume smaller volumes in the future.
Secretary of Agriculture Tom Vilsack addressed the Growth Energy Annual Hill Summit this week, and addressed the Biden Administration's support of the fuel.
Secretary of Agriculture Tom Vilsack: “Did you notice recently what he said about sustainable aviation fuel who's going to produce it? To notice he said, his view that in 20 years or so 95% of its going to be produced by farmers. So we're working on the modeling, to make sure that there's a broad array of feedstocks that can qualify, including ethanol. We're spending our own resources at USDA, to make sure the great model is where it needs to be. We're working collaboratively with all the agencies that have to be worked on, to make sure that we have a unified approach on this. To back up the President's commitment. We understand this.”
The industry is aiming at producing two percent of the aircraft fuel used in the United States by 2026. By some estimates, the renewable fuels industry would have an opening in the U.S. marketplace totaling 35 billion gallons.
Cost may be a drag on the shift to wide acceptance of the biofuel. The current spot price for Sustainable Aircraft Fuel is 35 percent more expensive than Jet A-1, the primary fuel used in aircraft.
For Market to Market, I’m Peter Tubbs.
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