Platts extends consultation on Sustainable Aviation Fuel assessments

Platts, part of S&P Global Commodity Insights, is extending the consultation on launching European and US sustainable Aviation fuel price assessments from May 5 to June 9, 2023.

Currently Platts publishes sustainable aviation fuel (SAF) prices based on the production cost of producing the fuel through hydroprocessing. These are ex-refinery prices based on calculations from S&P Global Commodity Insights, based on existing Platts assessments and other fixed costs. The European prices use Used Cooking Oil as the feedstock, the US published prices use tallow or animal fat as the feedstock.

The methodology specification guide can be found here.

As the SAF market continues to evolve and more production comes online, feedback from market participants has indicated that a price assessment for SAF in Europe and the US would provide additional clarity, consistency and pricing transparency. Platts would assess SAF as a premium to the regional Platts jet price benchmarks. For Europe, this would be the CIF NWE jet cargo assessment (PJAAU00) and for the US this would be the Los Angeles jet pipeline assessment (PJAAP00).

The market-based SAF price assessments basis California and Northwest Europe would be published in addition to the current production cost based prices.

Platts invites feedback on other parameters around the potential assessments, such as timing of delivery of the fuel, transportation method, incoterm, location and typical volume.

Please send any feedback to mrts_biofuelsandfeedstocks@spglobal.com and pricegroup@spglobal.com by June 9, 2023. For written comments, please provide a clear indication if comments are not intended for publication by Platts for public viewing.