GovWire

Policy paper: Revenue certainty mechanism for SAF: delivery plan

Department For Transport

September 4
15:58 2023

Details

The government has committed to introduce a revenue certainty mechanism to support sustainable aviation fuel (SAF) production in the UK.

This delivery plan sets out the timelines associated with the design and implementation of such a mechanism and how it could be delivered by the end of 2026.

As uncertainty over future revenues remains a barrier to investment, a revenue certainty mechanism will provide greater certainty to investors for a defined period of time, driving investment in SAF production in the UK.

Demand for SAF will be driven by the UK SAF mandate, which will be introduced from 2025. It will set out a long-term trajectory for SAF uptake in the UK, requiring at least 10% of jet fuel to be made from sustainable feedstocks by 2030. The SAF mandate will provide an incentive to produce SAF via price support from tradable certificates with a monetary value.

The governments 165 million Advanced Fuel Fund is already helping to deliver our ambitious commitment of having at least 5 commercial SAF plants under construction in the UK by 2025.

Published 4 September 2023

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