EU ETS: New rules boost SAF usage

Info Office Council of Europe European Parliament

The European Union has taken a significant step towards promoting sustainable aviation fuels (SAF) with the adoption of new monitoring rules for the Emissions Trading System (ETS).

These revisions aim to incentivise the use of SAFs by providing zero-rating for emissions from their combustion.

Under the new rules, emissions from renewable fuels of non-biological origin (RFNBOs), recycled carbon fuels (RCFs), and synthetic low carbon fuels (SLCFs) will be exempt from ETS fees, subject to strict criteria outlined in the Renewable Energy Directive (RED II).

These criteria include the use of renewable and additional electricity for RFNBO production, as well as a 70% reduction in greenhouse gas emissions compared to fossil fuels.

This move is expected to accelerate the adoption of SAFs, which are crucial for reducing the aviation sector’s environmental footprint. SAFs can significantly lower carbon emissions compared to traditional jet fuel, contributing to the EU’s goal of achieving climate neutrality by 2050.

In addition to the SAF incentives, the revised ETS rules also include measures to improve monitoring and reporting requirements for non-CO2 emissions from aviation. This includes establishing a system to track the impact of persistent contrails, NOx, and soot particles, which contribute significantly to global warming.