SAS Scandinavian Airlines has called for EU policy action to unlock e-SAF (electric sustainable aviation fuel) potential across the EU.
The airline has made the call as a leading member of aviation and energy lobby group Project SkyPower.
In a newly signed open letter from Project SkyPower, 75 organisations highlight the transformative potential of e-SAF to enhance energy resilience, strengthen Europe’s industrial base, and support aviation’s future climate goals.
According to Project SkyPower, E-SAF, produced using clean electricity, could create approximately 20,000 high-value jobs by 2050 and reinforce Europe’s position as a leader in cleantech innovation. With a projected €350+ billion global market and the capacity to reduce aviation emissions by 400 million tons annually, e-SAF represents a crucial step toward achieving the EU’s sustainability and industrial ambitions. Further, this will drive much needed demand for energy from renewable sources like wind, hydro and solar power.
Despite strong industry interest, investment barriers and regulatory uncertainties have stalled e-SAF production, with no facility yet reaching Final Investment Decision (FID). To unlock its potential, SAS, together with industry leaders and energy stakeholders, has urged the EU to implement five key policy measures:
- Prioritise e-SAF in the clean industrial deal and sustainable transport investment plan.
- Recycle ETS revenues to fund a market intermediary that secures revenue certainty and mitigates price risks.
- Introduce a bridging mechanism in 2025 to support early adopters before long-term policy frameworks take effect.
- Ensure regulatory certainty on mandates, production criteria, and penalties to encourage investment.
- Establish a government-backed backstop mechanism to mitigate project-on-project risk and facilitate financing.
“SAS is committed to forging a path to a sustainable future, where innovation and shared responsibility drive progress for both our planet and our societies. E-SAF is a critical part of the solution. However, industry efforts alone are not enough—decisive policy action is needed to scale up e-SAF production, drive real industry change, and solidify Europe’s leadership in sustainable aviation,” said Anko van der Werff, President & CEO at SAS.
Implementing these measures will unlock investment, scale e-SAF production, and ensure Europe leads the way in aviation sustainability, SAS said.
