This deal includes fixed volume and price terms and aims to accelerate the production and use of SAF in the aviation sector.
In a significant move to accelerate the decarbonization of the aviation industry, business aviation powerhouse Luxaviation Group and pioneering biomass-to-clean-fuels company Haffner Energy have announced a non-exclusive, 15-year offtake agreement for Sustainable Aviation Fuel (SAF). The deal, which includes fixed volume and price terms, represents a critical step forward in moving from aspirational commitments to tangible, long-term solutions for sustainable aviation.
The partnership is an extension of an existing collaboration that began earlier this year when Luxaviation expressed interest in SAF Zero, a dedicated entity focused on promoting and producing sustainable aviation fuels. This new agreement solidifies their joint commitment to making SAF more accessible and widely used across Europe.
Patrick Hansen, CEO of Luxaviation Group, emphasized the importance of the deal, stating, "This agreement marks a decisive move from vision to reality." He highlighted that securing a long-term SAF supply is not just an operational investment for Luxaviation but a firm commitment to its clients and the broader industry's future. By partnering with Haffner Energy, Luxaviation aims to establish a new standard for how business aviation can effectively drive the scale-up of sustainable fuel production.
Luxaviation, which operates one of the largest private aircraft fleets globally, has a comprehensive three-pronged strategy for decarbonization. This includes improving fuel efficiency, actively increasing the use of SAF and electrifying ground operations, and offsetting remaining greenhouse gas (GHG) emissions. The company has been tracking its progress since 2021 through its annual sustainability report and further demonstrated its dedication by launching the "Go-to-Zero" Investment Fund in 2023 to foster SAF production.
For Haffner Energy, the agreement is instrumental in facilitating the financing of its SAF projects across Europe. Philippe Haffner, CEO of Haffner Energy, noted that long-term offtake agreements are among the most crucial conditions for securing financing for SAF production facilities. Such agreements guarantee the purchase of SAF at a stable price over extended periods, providing the financial certainty needed to build new production plants.
Haffner Energy has already announced the development of several SAF projects, including sites in France and Iceland, with full-scale production expected to be reached by 2030. This timeline aligns with the next stage of the European SAF mandate, which will require a minimum 6% blend of SAF in jet fuel.
Both Luxaviation and Haffner Energy are active members of Project SkyPower, an international, CEO-led initiative dedicated to accelerating the development and adoption of SAF, underscoring their leadership and collaborative spirit within the industry.
