Global Aviation Sustainability Outlook 2026
Page 56 of 71 · WEF_Global_Aviation_Sustainability_Outlook_2026.pdf
This means that non-HEFA pathways, in particular
e-fuels, would need bespoke policy support to
overcome technology-specific challenges. However,
such bespoke policy support should not come at
the expense of other production pathways, given
the aim should be to help ensure that a wide range
of different SAF technologies remain potentially
viable. This in turn enables governments to maintain
a technology-neutral approach that is key to driving
the most cost-effective SAF production pathways
forward. Such an approach can help reduce
the price premium of SAF on passengers and
businesses, with a potential positive impact on their
willingness to pay and the translation of this into
stronger voluntary demand.
Such a policy approach is particularly needed in
markets with higher SAF mandates and e-fuel
quotas (e.g. EU, UK and where governments aim
to fulfil their targets through domestic production).
This analysis has not looked into the geographic
breakdown of SAF production capacity, but
policy-makers need to consider how much SAF
can realistically be produced domestically and the
availability of imports, to assess which trade-offs
between energy security and cost may be needed. Designing industrial policy that makes investment
in SAF more attractive to developers and investors
is essential to attract private capital towards
aviation. This would level the playing field with
other technologies and sectors, as investment in
sustainable fuel plants currently looks riskier, despite
SAF benefitting from a largely policy-driven global
and growing market. Financial institutions should
work with governments to set out clear investment
criteria that policy would need to favour.
At the same time, investors should come together
as a community to reduce and spread risks,
including through partnerships across financial
institutions as well as across the industry, with
airlines, airports and SAF project developers.
Financiers could also consider introducing
streamlined and standardized processes to
report the capital provided for sustainable aviation
investments. This would help governments track
how quickly the gap in the $120+ billion funding
needed to scale SAF production to 2040 is being
reduced; as well as highlighting any additional
interventions that could further accelerate capital
deployment.
Global Aviation Sustainability Outlook 2026
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