Skip to content
Aviation, Energy

Renewable energy takes to the skies

Australian Renewable Energy Agency (ARENA) 2 mins read

On behalf of the Australian Government, the Australian Renewable Energy Agency has today opened a $30 million funding initiative to reduce emissions in the aviation sector.

Australia’s aviation industry accounts for roughly 1 per cent of Australia’s greenhouse gas emissions and is viewed as a hard to abate sector. Most of these emissions are from medium to long haul flights.

The Sustainable Aviation Fuels (SAF) Funding Initiative aims to support the development of a SAF industry with production from renewable feedstocks in Australia.

The SAF Funding Initiative will examine opportunities across the supply chain from renewable feedstock supply to final fuel production, identifying their requirements to enable and scale a domestic SAF industry. 

The open initiative will welcome applications seeking ARENA grant funding between $1 million and $30 million via a two-stage application process.

ARENA is seeking proposals for commercial or pre-commercial SAF production with funding provided to support engineering feasibility and project development activities or funding for pilot scale and pre-commercial demonstrations.

ARENA will also seek proposals with novel and scalable approaches across the supply chain. This could include innovation in feedstock supply such as aggregation or business models to enable domestic SAF production. 

Proposals will be required to demonstrate that they use or process an eligible renewable feedstock and production pathway. Power to Liquids (PtL) or E-fuels production pathways are not supported under the Funding Initiative.

Modelling by McKinsey & Co has estimated that SAF could result in a net reduction in emissions from the global aviation sector by up to 30 per cent by 2030.

SAF is experiencing high global demand while its supply remains limited. Although Australia currently lacks local production of SAF, it possesses significant potential in renewable feedstocks that could be harnessed to meet both domestic and global SAF supply needs.

ARENA CEO Darren Miller said the funding initiative will help Australia understand how SAF can play a role in decarbonising the aviation industry.

“For a country so reliant on aviation for passenger and freight transport, it’s essential that we find ways to reduce emissions from this critical sector,” Mr Miller said.

“With abundant agriculture, waste and residue resources, Australia has the potential to support a thriving domestic biofuel industry.

This is about utilitising our natural advantages to reduce emissions and make the most of the economic opportunities on offer.”

The SAF initiative seeks to deliver on the findings of ARENA’s Bioenergy Roadmap which found that sustainable aviation fuels produced from renewable biomass could provide up to 19 per cent of Australia’s aviation fuel requirements by 2030.

Published in 2021, the Bioenergy Roadmap outlined how a local bioenergy industry could contribute about $10 billion in extra GDP by 2030 and result in an additional 26,000 new jobs.

Applications for the SAF initiative are open now, with expressions of interest due by 1 November 2023.


More from this category

  • Energy, Government WA
  • 28/05/2024
  • 15:58
Conservation Council of WA

WA environment groups welcome change to Appeals Committee for the North West Shelf Project Extension

WA environment groups have responded to thereportedremoval of former Chevron employee, Simon McKirdy, from the Appeals Committee for Australia’s biggest climate decision, the North West Shelf Project Extension, the largest part of Woodside’s Burrup Hub mega-project, due to a perceived conflict of interest. Mr McKirdy was appointed to the two-person committee last month by WA’s Environment Minister, Reece Whitby, having reportedly previously worked for Chevron from 2013 to 2016. McKirdy reportedly currently works for Murdoch University’s Harry Butler Institute, which was co-founded by Chevron. WA Environment Minister Reece Whitbyannouncedthis morning that he had revoked Professor McKirdy’s appointment to the Appeals…

  • Energy, Government Federal
  • 28/05/2024
  • 12:44
Mining and Energy Union

Dr Iain Ross a welcome choice to lead Net Zero Economy Authority

The Mining and Energy Union welcomes today’s appointment of Dr Iain Ross AO as Chair of the Net Zero Economy Authority. MEU General President Tony Maher said Dr Ross, a former President of the Fair Work Commission, has a wealth of industrial relations experience and is well placed to ensure workers’ interests are protected during Australia’s energy transition. “A key element of the Authority’s work will be implementing the Energy Industry Jobs Plan to support workers affected by power station closures,” said Mr Maher. “For the sake of our energy workforce and energy regions, it’s very important that this work…

  • Energy
  • 28/05/2024
  • 11:58

Jemena and Spanish company Solarig sign MOU for renewable hydrogen collaboration

Australia’s renewable hydrogen sector has taken another significant step forward after Spanish-based Solarig entered into a Memorandum of Understanding (MOU) with leading energy infrastructure company Jemena. Under the MOU the parties will collaborate to assess the feasibility and facilitate the supply of zero-carbon renewable hydrogen to gas users connected to Jemena’s network. The MOU between Solarig and Jemena focuses first on the development of hydrogen production and blending facilities in regional New South Wales which will initially inject up to 35 terajoules of renewable hydrogen per year into Jemena’s New South Wales gas distribution network. If successful, both parties will…

Media Outreach made fast, easy, simple.

Feature your press release on Medianet's News Hub every time you distribute with Medianet. Pay per release or save with a subscription.