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Brussels– At a summit held today, CEOs of major European airlines called for a comprehensive review of the EU’s Sustainable Aviation Fuel (SAF) mandates (ReFuelEU Aviation), citing concerns over supply, cost, and the feasibility of meeting net-zero targets by 2050. The summit, organised by Airlines for Europe (A4E), brought together industry leaders to discuss the challenges and opportunities facing the aviation sector.
The airline executives expressed significant concerns about the availability and cost of SAF. Carsten Spohr, CEO of Lufthansa, noted that the current supply of SAF is insufficient to meet the mandates set by the EU. ‘Unless something changes, we need to delay the mandate,’ proclaimed one executive. The CEOs also highlighted the increasing regulatory costs, which have tripled in recent years. Michael O’Leary, CEO of Ryanair, called for a reform of aviation taxes and a level playing field by aligning ETS costs with CORSIA. The airline executives also stressed the need for a strategy to lower the cost of SAF and extend the ETS allowances scheme beyond 2030.
While reaffirming their commitment to achieving net-zero emissions by 2050, the CEOs expressed caution about the challenges ahead. Spohr indicated that the lack of a hydrogen-powered aircraft by 2050 and decreasing investments in SAF by energy suppliers could impact the industry’s ability to meet its climate goals. O’Leary suggested that the European Commission should ensure the production of SAF, noting that the burden of supplying SAF lies with oil companies.
Lufthansa’s Spohr further emphasised the need for an honest conversation about the feasibility of achieving net-zero emissions by 2050. Although the airline executives agreed in principle with the objective of net zero in 25 years, they expressed concerns that this target could not be achieved without significant changes in SAF supply and regulatory support, including a revision of the EU’s SAF mandate. Spohr highlighted the need for realistic assessments and open dialogue to address these challenges effectively.
The issue of carbon leakage was also a significant point of discussion. The CEOs agreed that the current regulatory framework is not effectively addressing carbon leakage, with flights routed through non-EU hubs subject to fewer emissions liabilities. Benjamin Smith, CEO of Air France-KLM, emphasised the need for a mechanism similar to the Carbon Border Adjustment Mechanism (CBAM) to address carbon leakage in the aviation sector.
This is one of the first times European airline executives have openly called for a complete and “neutral” revision of the EU’s sustainable aviation fuel legislation, echoing calls from the automotive industry late last year. In January, a study by green group Transport & Environment (T&E), suggested that the industry’s ambitious plans to double passenger traffic by 2050 will exhaust its carbon budget as early as 2026.
Update: 15:58 – 27/03/25
In a “Clarifying Statement”, A4E said that it was “ fully committed to decarbonising aviation, cutting emissions, and reaching Net Zero by 2050. Abundant and affordable SAF is critical in order to reach this goal.” The organisation added, however, that they are “deeply concerned that the ReFuel legislation is failing to create the affordable SAF market it promised” and said that without urgent regulatory action, the existing mandate would lose “creditability”.