Tag Archives: airlines

Bloomberg-EDF analysis: Mandates Plus Markets Could Make Airlines’ Emissions Goals Readily Affordable

By ANNIE PETSONK | BIO | Published: AUGUST 1, 2013 The aviation industry can affordably meet and beat its goal of halting carbon emissions growth from 2020 if it uses high-quality, low-cost carbon offsets, according to a new analysis from Environmental Defense Fund (EDF) and Bloomberg New Energy Finance (BNEF) . Airlines’ goal of “carbon-neutral growth from 2020” could be so readily affordable that governments justifiably could hold airlines to a much tighter emissions target. Image source Our analysis comes on the heels of a consolidated industry call for the governments of the International Civil Aviation Organization (ICAO) to commit, at their next triennial Septe mber meeting, to adopt a mandatory global program to limit aviation’s carbon pollution by 2016 at the latest. While forecasts are inherently uncertain, best estimates indicate that while new technologies, operations and infrastructure can help industry dampen emissions growth, substantial increases in aviation emissions are likely after 2020. Consequently, to meet their proposed mandatory goal of “carbon-neutral growth from 2020,” it is very likely that airlines will need some kind of carbon offsetting mechanism . An offset mechanism that limits credit supply to high-quality carbon units currently available and expected to come on-line in the future, could let airlines meet their emissions target at very modest cost. If governments adopt tough criteria ensuring that offsets represent real reductions in net carbon emissions, and if industry moves swiftly to capture those carbon units, the costs to airlines could be quite low – e.g., less than 0.5% of projected total international airline revenue in 2015 , and less than a third of the fees airlines collected last year for checked bags, legroom and snacks. In the current round of talks, the aviation industry is asking governments to mandate caps on airlines’ emissions at 2020 levels. Our analysis finds that a well-designed, high-integrity carbon offset program would make carbon-neutral growth from 2020 so affordable, that governments justifiably could hold airlines to a much tighter emissions target. That could mean putting back on the table a target the industry had proposed several years ago , namely cutting emissions 50% by 2050. As my report co-author, Bloomberg New Energy Finance chief economist Guy Turner, said : These findings show that the international aviation sector can control its CO2 emissions easily and cheaply by using market based mechanisms. The relatively small cost and ability to pass any costs through into ticket prices, should encourage the international aviation sector to accelerate and deepen its emission reduction pledges. More ambitious emission reductions now look much more doable, than mere stabilization from 2020. Our analysis offers context to the costs of such a global market-based mechanism using offsets with strong environmental integrity, which the aviation industry called on ICAO last month to adopt to keep the industry’s net emissions stable from 2020 on. Such an offset program would allow the airlines to meet their emissions targets by both making emissions cuts within the aviation sector, and drawing on offsets that represent real emission cuts in other sectors. Blog-exclusive addendum: effect on ticket prices A well-designed global offset program, using high-quality offsets that represent real reductions in emissions, could add only a few dollars to a typical international fare: From Paris (CDG) to Beijing (PEK): $1.90 – $3.00 From Paris (CDG) to Delhi (DEL): $1.50-$2.30 From Paris (CDG) to Cape Town (CPT): $2.40-$3.70 From Paris (CDG) to Buenos Aires (EZE): $2.70-$4.30 From New York (JFK) to Buenos Aires (EZE): $2.10-$3.20 Read more in our press release and the full BNEF-EDF analysis, Carbon-Neutral Growth for Aviation: At What Price? – See more at: http://blogs.edf.org…h.LWzQqdaa.dpuf Continue reading

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United Airlines Signs 15m Gallon Biofuel Purchase Agreement

June 6, 2013 United Airlines will purchase 15 million gallons of biofuel from AltAir Fuels that will be used on flights departing from Los Angeles International Airport starting in 2014, the airline says. The companies expect AltAir Fuels’ renewable jet fuel to achieve at least a 50 percent reduction in greenhouse gas emissions on a lifecycle basis. According to the agreement, AltAir Fuels will retrofit part of an existing petroleum refinery to become a 30-million gallon, advanced biofuel refinery near Los Angeles, Calif. AltAir will produce low-carbon, renewable jet fuel and other renewable products at the refinery. United will buy 5 million gallons of biofuel per year over a three-year period with the option to purchase more. The companies say the biofuel price will be competitive with petroleum-based jet fuel. AltAir will use process technology developed by Honeywell’s UOP to retrofit the existing refinery near Los Angeles and says the facility will be the first refinery internationally to be capable of in-line production of both renewable jet and diesel fuels. The facility will convert nonedible natural oils and agricultural wastes into approximately 30 million gallons of low-carbon, advanced biofuels and chemicals per year. These advanced biofuels are drop-in replacements for petroleum-based fuel, requiring no modification to factory-standard engines or aircraft , with which they are fully compatible. United says it will support AltAir Fuels’ efforts to incorporate internationally recognized sustainability standards, such as those being developed by the Roundtable on Sustainable Biomaterials . In 2009, United Airlines became the first North American carrier to perform a two-engine aircraft flight demonstration using sustainable biofuels derived from algae and jatropha. United also operated the first flight by a North American commercial airline using synthetic fuel made from natural gas in 2010. A year later, United operated the first US commercial flight powered by advanced biofuels. Last summer, United, along with the Boeing Company, Honeywell’s UOP, the Chicago Department of Aviation and the Clean Energy Trust, launched the Midwest Aviation Sustainable Biofuels Initiative (MASBI). MASBI is an effort by more than 40 organizations across the aviation biofuels supply chain to accelerate the commercialization of advanced biofuels in the Midwest. United Airlines is also a signatory to the Sustainable Aviation Fuel Users Group , whose members represent approximately 32 percent of commercial aviation fuel demand. United signed a pledge to pursue the advancement of drop-in biofuels that achieve important sustainability criteria, work with leading organizations to achieve biofuel certification standards and take actions to enable commercial use of aviation biofuels. Continue reading

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United Airlines To Use Biofuel In L.A. Flights By 2014

Published on Wednesday, 05 June 2013 By 2014, United Airlines will be using sustainable aviation biofuel on their flights departing from LAX. United has executed a definitive purchase agreement with AltAir Fuels to buy 15 million gallons of lower-carbon, renewable jet fuel over a three-year period, with the option to purchase more. AltAir expects to begin delivering five million gallons of renewable jet fuel per year to United starting 2014. “This is a great day for United and the aviation biofuels industry. This agreement underscores United’s efforts to be a leader in alternative fuels as well as our efforts to lead commercial aviation as an environmentally responsible company,” said United’s Managing Director for Global Environmental Affairs and Sustainability Jimmy Samartzis. AltAir develops and operates projects for the production of low carbon fuels and chemicals derived from sustainable feedstock. As part of their strategic partnership with United, AltAir will retrofit part of an existing petroleum refinery to become a 30 million gallon advanced biofuel refinery near Los Angeles. “United Airlines has been a strategic partner for several years as we work to establish our biofuel facility,” said AltAir’s Chief Executive Officer Tom Todaro. “We cannot overestimate how important this milestone is for the commercialization of sustainable aviation biofuels, and we at AltAir are proud that United is our first customer.” Using a process technology developed by Honeywell’s UOP, the AltAir facility will convert non-edible natural oils and agricultural waste into renewable jet and diesel fuels. These advanced biofuels will be drop-in replacements for petroleum-based fuel, providing the same performance with at least a 50 percent reduction in greenhouse gas emissions on a lifecycle basis. The agreement with AltAir is in line with United Airlines’ commitment to sustainable aviation. A signatory to the Sustainable Aviation Fuel Users Group, United signed a pledge to pursue the advancement of drop-in biofuels that achieve important sustainability criteria, work with leading organizations to achieve biofuel certification standards and take actions to enable commercial use of aviation biofuels. In 2009, United became the first North American carrier to perform a two-engine aircraft flight demonstration using fuel derived from algae and jatropha. They also operated the first flight by a North American commercial airline using synthetic fuel made from natural gas in 2010 and in 2011 operated the first U.S. commercial flight power by advanced biofuels from Huston to Chicago. – EcoSeed Staff Continue reading

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