EU offers subsidies to boost sustainable aviation fuel use

The initiative includes support for the purchase of over 200 million liters of SAF.
Based on calculations by Reuters using European Commission data, this volume represents around 15% of current global SAF production and could significantly increase demand from airlines.
To help bridge the cost gap between conventional jet fuel and SAF, the EU plans to use revenue generated from the sale of 20 million carbon emissions permits. The subsidies aim to make SAF more affordable for airlines operating within Europe.
Reuters estimates that the financial support could fund the purchase of up to 216 million liters of e-fuels—synthetic fuels produced from captured CO₂—or as much as 2.6 billion liters of biofuels.
Under the scheme, the EU will provide up to €6 per liter for e-fuels and €0.50 per liter for biofuels.
The EU has also set targets requiring that 2% of all aviation fuel supplied at EU airports must be SAF by 2025, increasing to 6% by 2030.
