Sustainable Aviation Fuel Takes Off

Today, most renewable propane is a byproduct of renewable diesel and sustainable aviation fuel (SAF) production, which commonly occurs via hydrotreating easters and fatty acids, including tallows, oils, and greases. SAF, in particular, has garnered much media attention lately. Airlines such as American and Delta have made public commitments to use increasing amounts of SAF in their planes. This follows the enactment of federal tax credits for the production of sustainable aviation fuel that were included in the Inflation Reduction Act of 2022.

Not to be out done, states too are taking steps to support the bourgeoning SAF marketplace as they seek to help the aviation sector decarbonize. In just the last year, Illinois, Minnesota, and Washington State have all passed laws to financially incentivize the production and use of sustainable aviation fuel. Furthermore, SAF legislation has been introduced in numerous states this legislative session, including: Colorado, Hawaii, Kentucky, Michigan, Nebraska, South Carolina, and Virginia. As producers take advantage of these new market incentives, production of sustainable aviation fuel will grow considerably. Of course, this is all good news for the production of renewable propane as well, which is set to grow simultaneously with that of SAF. This will allow more product to enter the marketplace and be used as a clean and very low-carbon energy source for buildings and engine applications.

For more information, contact NPGA’s Director of State Affairs, Jacob Peterson.