DOE report says US domestic SAF use grew significantly under Biden

The Biden administration had made notable progress in expanding US sustainable aviation fuel use, with 30 million gallons produced in the first three quarters of 2024, up from 5 million gallons in 2021, according to the Department of Energy.

Combined with imports, consumption totaled 93 million gallons through September, according to the US Sustainable Aviation Fuel Grand Challenge 2021-2024 Progress Report, developed by the DOE with the departments of Agriculture and Transportation.

Industry projections show the US will surpass its 3 billion-gallon/year SAF production target by 2030, with announced projects already representing more than that amount and accounting for an estimated $44 billion in announced investments, the DOE said in the report.

"We are making tremendous progress in decarbonizing one of the hardest-to-reduce sectors, and sustainable aviation fuel is key to cleaner skies and a stronger economy," Energy Secretary Jennifer Granholm said in a DOE statement.

Key accomplishments of the Biden administration's efforts so far, according to the report, include:

• The DOE awarded $151 million to 28 projects focused on SAF production, "leveraging" $156 million in private sector funding.
• The USDA invested $48 million in SAF-related initiatives, including $18 million for supply chain development and $30 million for commercial projects, attracting $175 million in private sector investment.
• The FAA committed $249 million through the Fueling Aviation's Sustainable Transition program and is expected to generate an additional $83 million in private funding.

Technological advancements

SAF is predominantly produced by converting fat, oil and grease feedstocks through the hydroprocessed esters and fatty acids pathway. Based on public reporting, major commercial producers in 2021-2025 included World Energy, Montana Renewables, Sinclair and Neste Oil, according to US Environmental Protection Agency Renewable Identification Number values.

Additionally, DOE-supported alcohol-to-jet technology has been commercialized, with LanzaJet opening the world's first ethanol-to-SAF production facility in Soperton, Georgia. This facility has the capacity to produce 10 million gallons of SAF annually, contributing to the growing domestic SAF supply, according to the DOE.

SAF prices

Platts, part of S&P Global Energy, introduced pricing for both neat and blended SAF in California and Illinois on Aug. 1, 2024.

Platts assessed the neat SAF price in California at $7.16/gal on Jan. 14. The assessment for California aviation turbine fuel, which consists of 30% SAF and 70% kerosene jet fuel, was assessed at 5.40/gal.

In Illinois, neat SAF was assessed at $8.42/gal on Jan. 14. Similarly, Illinois aviation turbine fuel price was assessed at $5.55/gal in Jan. 14.