PUTRAJAYA, Sept 5 — Petroliam Nasional Berhad (Petronas) set to produce sustainable aviation fuel (SAF) by 2028, said Transport Minister Anthony Loke today.
The move is to achieve the aim of net zero carbon emissions in the aviation industry as early as 2050.
"The production of SAF will be spearheaded by Petronas, which has already started planning and developing strategies,” Loke said at the National Aviation Consultative Council (NACC) meeting and the launch of the Malaysian Aviation Sector Decarbonisation Roadmap (MADB).
"I’ve been informed by Petronas that production could begin as early as 2028,” he added.
Currently, no local airlines use SAF in daily operations due to its high cost, Loke explained.
"The biggest challenge with SAF is its price. It’s about three times more expensive than conventional jet fuel because of limited production and supply,” he said.
"We need to address the supply side first before discussing how airlines can adopt SAF,” he said, adding that the use of SAF is not currently mandated by the government and "our airlines have not yet adopted it”.
However, with production starting in 2028, the transport minister hoped that by then, "SAF prices will decrease and become more affordable for airlines”.
Loke also noted that other measures to reduce carbon emissions in the aviation industry are already underway.
"We are exploring other mechanisms such as carbon credits and operational efficiency.
"Operational efficiency is something we can address immediately. This includes better airport management and air traffic control.
"For example, if we can ensure aircraft have quicker landing procedures, it can help reduce carbon emissions, though not completely,” he said.
Earlier, Loke announced the launch of MADB, which outlines clear guidelines for reducing carbon emissions in the aviation sector by 2050.
The blueprint sets targets in four key areas:
- 1. Aircraft Technology — Aiming for up to 18 per cent reduction in emissions through advancements like more fuel-efficient engines.
- 2. Operational Enhancements — Targeting up to 5 per cent reduction through better air traffic management and efficient flight operations.
- 3. Sustainable Aviation Fuel (SAF) — Aiming for up to 46 per cent reduction with increased use of SAF and other biofuels.
- 4. Market-Based Measures (MBM) — Seeking up to 30 per cent reduction by adopting carbon offset schemes and purchasing carbon credits, allowing companies to offset emissions by investing in sustainability projects.
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