Secure guarantees or insurance instruments to enhance credit profileLever 3 Funding Source Public funding Industry funding Institutional funding Pathways (relevance of guideline by pathway, low = nice to have vs. high = must have) HEFA Alcohol-to-Jet G-FT Power-to-Liquid Medium High High High Lifecycle (relevance of guideline by pathway, low = rarely applicable vs. high = very common) Pre-feasibility Feasibility + FEED FID Construction Commissioning Low High High High Low Early-stage FOAK SAF facilities often face heightened risks. Even after securing government grants, patient capital and potential technical assistance from MDBs, additional targeted de- risking measures will be needed to counter some of the technical and operational risks. Public capital plays a critical role in mitigating these risks, employing a variety of financial instruments that make SAF projects more bankable and appealing to private investors. The following five interventions are key tools used to reduce risk and support the viability of SAF projects in their nascent stages, although their availability for SAF is constrained to certain regions and often allocated competitively: 1. Loan guarantees: A promise by a guarantor (e.g. a government or development bank) to cover the loan in case of default, reducing lender risk and improving access to credit. 2. Government underwriting: The government commits to cover certain risks or losses, often to catalyse investment, especially in developing markets. 3. Insurance solutions: Specialized insurance products (e.g. political risk or currency risk insurance) that mitigate specific project risks to attract private capital. Examples include completion guarantees, where project sponsors agree to provide subordinated financing or equity contributions if needed to ensure construction is completed. Guarantors should have investment-grade ratings in order to credibly deliver such solutions, and governments may provide such options if no reliable guarantors exist. 4. First-loss capital or guarantee: A layer of capital that absorbs initial losses in a project, protecting other investors and encouraging further participation. 5. Concessionary loans: Loans provided at competitive interest rates in markets where such loans are not typically available, or with more lenient terms (e.g. longer tenure), making it easier for projects to finance debt and attract private capital. Public capital plays a critical role in mitigating technical and operational risks. Financing Sustainable Aviation Fuels 23 23 Financing Sustainable Aviation Fuels

Financing Sustainable Aviation Fuels 2025