JetBlue (NASDAQ: JBLU) announced an agreement with sustainable fuel startup Air Company to transition to sustainable aviation fuel (SAF). Air Company creates carbon-negative alcohols and fuels from carbon dioxide. The airline carrier plans to buy 25 million gallons of AIRMADE sustainable aviation fuel throughout the next five years, beginning in 2027.
“SAF is one of the most promising avenues for addressing aviation emissions currently available. With creative thinking backed by science, AIR COMPANY’s work to leverage captured carbon, a resource distinct from other SAF feedstocks, represents the kind of innovation that can expand SAF availability and grow the market necessary to reach our industry goals.” said Sara Bogdan, director of sustainability and environmental social governance, JetBlue, “We’re excited to build upon this partnership established by JetBlue Ventures as we continue our own path to reach net-zero carbon emissions by 2040.”
Amid climate change issues, the global aviation industry has been pressured to cut carbon emissions and establish new ways to reach the 2050 net-zero emissions goal set by the International Air Transport Association (IATA) in 2021.
“We’re excited to be working with Air Company to reach our 10% SAF target by 2030,” said Holly Boyd-Boland, Virgin Atlantic’s vice president of corporate development.
The airline industry emits about 2% of global carbon dioxide and faces various challenges in reaching the established goal due to a lack of proof in technology such as electric and hydrogen-powered aircraft. According to IATA, global investments are anticipated to boost SAF annual production from over 33 million gallons to more than 1.3 Billion by 2025.