The UK government has launched a consultation to support the sustainable aviation fuel (SAF) industry, aiming to reduce carbon emissions a
nd create new economic opportunities.
The proposed revenue certainty mechanism (RCM) is designed to encourage investment in green fuel production while keeping ticket prices stable.
Sustainable aviation fuel offers a significant environmental benefit, potentially reducing greenhouse gas emissions by up to 70% compared to traditional jet fuels.
The government's initiative could support up to 15,000 new jobs and contribute £5 billion to the UK economy by 2050.
The consultation, running from 3 March to 31 March 2025, proposes an industry-funded price guarantee to provide financial stability for SAF producers.
This comes alongside the SAF Mandate introduced in January 2025, which requires a growing percentage of aviation fuel to come from sustainable sources.
Aviation Minister Mike Kane highlighted the government's commitment to greener flying, stating they are "committed to building the technology and fuel supply that will see greener flying become a reality in a way that protects consumers."
Industry leaders have largely welcomed the proposal. Tim Alderslade from Airlines UK supported the mechanism, emphasising the goal of producing SAF "at the cheapest possible price for consumers". Karen Dee of AirportsUK noted that SAF will play a "key role in decarbonising aviation".
According to the government, the initiative is part of a broader strategy to position the UK as a clean energy leader.
The government has also secured new international carbon limits for aircraft, which will require new aircraft types to be 10% more efficient from 2031.
The temporary support scheme aims to kickstart the SAF market, with the government planning to monitor its impacts and manage potential liabilities through volume and price caps.
More information about the consultation can be found here: https://www.gov.uk/government/consultations/saf-revenue-certainty-mechanism-approach-to-industry-funding