Unlocking e-SAF’s Potential for the EU Competitiveness & Energy Independence - CleanTechnica

The article highlights the European Union’s Sustainable Transport Investment Plan (STIP) as a critical opportunity to unlock the potential of e-SAF (electro-sustainable aviation fuel), which is considered the greenest and most scalable sustainable aviation fuel. E-SAF, or e-kerosene, has the capacity to reduce aviation CO₂ emissions by over 90%, making it a vital solution for long-term decarbonization of the aviation sector. Despite supportive regulatory frameworks like the Fit for 55 package and ReFuelEU Aviation, e-SAF projects in the EU have struggled to reach final investment decisions due to high costs, lack of long-term purchase agreements, and market uncertainties. To address these challenges, the article proposes that the STIP should prioritize e-SAF by implementing mechanisms such as a European Hydrogen Clearing House (EHCH). This clearing house would facilitate double-sided auctions to match fuel producers with buyers, ensuring price stability and aggregated demand. Such a system would de-risk investments in e-SAF production through long-term contracts and contracts for differences, fostering scale-up while aligning with the EU’s goals for industrial competitiveness, energy independence, and job creation. Ultimately, prioritizing e-SAF under the STIP is framed not only as an environmental necessity but also as a strategic move to position Europe as a global leader in sustainable aviation fuels and clean energy innovation.