Sustainable Markets Initiatives in Action

SMI Pathfinders

    Pathfinders

    Pathfinder

    Aviation (SAF)

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    Pathfinder Aviation

    The near- to mid-term decarbonization of aviation depends heavily on Sustainable Aviation Fuel (SAF) as a drop-in solution. The SMI’s horizontal Pathfinder approach brings together CEOs from aviation, finance, energy, production, and infrastructure to address the barriers to scaling SAF at speed and scale. 

    Problem statement

    • Fragmented collaboration and unclear roles across the SAF value chain: Scaling SAF requires alignment among airlines, airports, fuel producers, feedstock suppliers, financiers, and regulators, yet these stakeholders remain siloed with misaligned incentives, timelines, and risk perceptions. 

    • Weak demand signals and limited investment keep SAF from scaling: SAF costs about four times more than conventional jet fuel, creating a chicken-and-egg problem. 

    • Lack of scalable, holistic pathways that support sustainability and commercial viability: Many SAF efforts focus on emissions reductions but overlook feedstock sustainability, just-transition impacts, Nature-positive outcomes, and links to other decarbonization levers such as efficiency, airport infrastructure, and new aircraft technology. 

    Implementation pillars

    1. Increase SAF Demand, Scale & Production 

      Encourage local discussions between airports, governments and SAF suppliers and investors to increase the number of airports adopting SAF strategies to increase adoption and accelerate progress. 

    2. Leverage Highest-Traffic Airports to Scale Demand & Production

      Building on models such as Singapore’s passenger ticket levy and Heathrow’s NOx charges, the SMI will connect with the world’s top ten traffic airports to map progress and opportunities across AI, electrification, green fuels, logistics, buildings, and airport-to-airport optimisation. 

    3. Support Airport & SAF Funding and Investment Mechanisms

      The SMI will align airlines, airports, fuel producers, feedstock suppliers, OEMs, and financiers to co-develop binding multi-year offtake agreements and risk-sharing models — championing insurance wrappers, performance guarantees, and innovative long-term financial offtakes to improve bankability.

    4. Terra Carta Airport Recognition & Showcasing

      The SMI could create replicable, profitable models that others adopt facilitated by a ‘Terra Carta Airport’ recognition influencing broader adoption and helping the sector accelerate the use of SAF. The SMI will showcase leading efforts across manufacturers, airlines, airports, and SAF producers.