14 DAY TRIAL // 7,000 airlines could start using sustainable jet fuels on a large scale sooner than expected, according to Richard Branson, the owner of Virgin Group. His forecast is based on the idea that such companies currently have access to only 1,700 aviation stations all across the globe.
Therefore, the limited number of “filling stations” could facilitate the transition from expensive traditional fuel to eco-friendly alternatives like algae-based biofuel, the Guardian reports.
Branson states that tackling climate change provides an amazing opportunity for airline companies. In his opinion, the industry has a valid chance of adopting up to 50% sustainable fuels within the next decade.
At this point in time, such a plan is expected to translate into less costs for this line of business. Apparently, standard jet fuel represents up to 40% of the overall investments backed by an airline company; therefore, many major players in this industry should welcome cost-effective substitutes.
As we speak, 40 companies put their low-carbon offers on the table. Before implementing them, a rigorous process of selection is required, since Branson states that only one third are actually realistic and "credible" from an economically-sustainable point of view.
A recent study published by NGO Carbon War Room and Elsevier highlights that enterprises offering renewable jet fuel could supply the entire market with up to 20% of the “fuel of a typical mid-sized airline” within the next five years.
Their activity could transform RenewableJetFuels.org into a profitable option exploited by investors and important enterprises.
Currently, Branson's Virgin airline purchases jet fuel worth $3bn (€2.23bn) every year. He is expecting a series of changes meant to decrease the costs and scale up productivity in this line of business. Branson thinks that the new line of fuels can become competitive, triggering lower rates for aviation fuels.
He anticipates a clear path for innovations. Backed by appropriate funding, these new elements could transform one of the dirtiest industries in one of the cleanest sectors.
Three years ago, when a Virgin plane aimed to fly to Holland powered by coconut oil, only a few players in the industry have cheered and welcomed this initiative.
Despite this, Branson manages to preserve his optimism, saying that airline companies could green up their conduct faster than previously thought. As we speak, the favorite game changers in biofuel industry, named by Carbon War Room, are SG biofuels, AltAir, Solazyme, Lanzatech and Sapphire.