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Aviation Sustainability and the Environment, CAPA 10-Feb-2022

Analysis

Virgin Atlantic Airways, Neste reach agreement for 2.5m litre SAF supply at London Heathrow

Korean Air, Airbus, Seoul Incheon Airport and Air Liquide sign hydrogen fuel agreement

DHL purchases 33m litres of SAF from AFKLMP Cargo

easyJet to implement SkyBreathe solution to reduce fuel burn and carbon emissions

Etihad Guest launches sustainable credit card with Visa and First Abu Dhabi Bank

Summary
  • Virgin Atlantic Airways has reached an agreement with Neste for the supply of 2.5 million litres of sustainable aviation fuel (SAF) at London Heathrow Airport in the first half of 2022. This marks the first commercial supply of SAF for Virgin Atlantic and is part of the airline's goal to achieve 10% SAF by 2030.
  • Korean Air, Airbus, Seoul Incheon Airport, and Air Liquide have signed an agreement to support the development of hydrogen supply infrastructure at Seoul Incheon International Airport and other airports in South Korea. The partnership aims to facilitate the adoption of hybrid hydrogen-powered aircraft and adapt to new fuels and distribution channels in the Korean aerospace ecosystem.
  • DHL Global Forwarding has signed a three-year cooperation agreement with Air France-KLM-Martinair Cargo (AFKLMP Cargo) for the purchase of 33 million litres of sustainable aviation fuel (SAF). The partnership is expected to save over 80,000 tons of carbon dioxide emissions by blending SAF with regular aviation fuel on AFKLMP services.
  • easyJet plans to implement OpenAirlines' SkyBreathe solution to reduce fuel burn and carbon emissions. The cloud-based solution uses artificial intelligence to collect and analyze aircraft data, identifying fuel-saving opportunities and enabling the implementation of efficient procedures.
  • Etihad Guest has launched a sustainably focused Visa credit card in partnership with First Abu Dhabi Bank (FAB). The card rewards customers for sustainable purchases and provides options to offset related emissions, building on Etihad's Conscious Choices rewards initiative.
  • Etihad Guest, First Abu Dhabi Bank, and Visa have partnered to create the world's first Visa co-branded sustainable credit card proposition. The FAB Etihad Guest Visa Sustainable Card rewards members for sustainable spending and offers the ability to use miles to offset emissions from credit card spends.

This CAPA report features a summary of recent aviation sustainability and environment news, selected from the 300+ news alerts published daily by CAPA. For more information, please contact us.

Virgin Atlantic Airways, Neste reach agreement for 2.5m litre SAF supply at London Heathrow

Virgin Atlantic Airways announced (09-Feb-2022) an agreement with Neste for the supply of 2.5 million litres of neat sustainable aviation fuel (SAF), which will be delivered to London Heathrow Airport in 1H2022.

The agreement will facilitate the first commercial supply of SAF for Virgin Atlantic and will be supported by ExxonMobil in supply and distribution.

Virgin VP corporate development Holly Boyd-Boland stated: "To meet our 10% SAF target in 2030 we need to deliver this volume more than 70 times over, requiring cross industry and government action to support commercialisation of SAF at scale, particularly in the UK. We will continue to work closely with Neste and ExxonMobil, as well as wider industry partners, to find innovative solutions to achieve this goal". [more - original PR]

Original report: Virgin Atlantic agrees sustainable aviation fuel supply with Neste and ExxonMobil

Virgin Atlantic Limited and Neste Oyi are pleased to announce the UK supply of 2.5 million litres/2,000 metric tonnes of neat Sustainable Aviation Fuel (SAF), which will be delivered in the first half of 2022 to London Heathrow. The supply is an important step towards the airline's target of 10% SAF by 2030. The agreement forms part of a wider collaboration between Virgin Atlantic, one of the world's most fuel-efficient long-haul airlines and Neste, the world's leading provider of SAF, to increase the availability and use of SAF in the UK.

Neste MY Sustainable Aviation Fuel™ is made from sustainably sourced, renewable waste and residue raw materials. In its neat form, it can reduce greenhouse gas emissions by up to 80%* of life cycle, compared to traditional fossil jet fuel.

Virgin Atlantic and Neste are supported by ExxonMobil's expertise in the supply and distribution of jet fuel to manage this delivery of SAF into the UK. ExxonMobil is Virgin Atlantic's largest fuel supplier at London Heathrow.

With a track record as a sustainability leader for more than a decade, Virgin Atlantic has committed to achieving net zero by 2050. Today, 100% of its fleet is twin engine and 70% next generation, making it one of the youngest and most fuel-efficient in the skies. This follows a multi-billion-dollar fleet renewal programme that has already delivered a 20% reduction in carbon emissions between 2007 and 2019.

The agreement with Neste represents the first commercial supply of SAF for Virgin Atlantic, following its long-standing commitment to SAF and operation of the first commercial aircraft using sustainable fuels in 2008.

Holly Boyd-Boland, VP Corporate Development, Virgin Atlantic said: "After fleet renewal, SAF represents the greatest opportunity to decarbonise aviation in the short to medium term. This supply is the beginning of commercial SAF at scale for Virgin Atlantic and whilst only enough to operate 140 flights** between London and New York, it's a starting point.

"To meet our 10% SAF target in 2030 we need to deliver this volume more than seventy*** times over, requiring cross industry and Government action to support commercialisation of SAF at scale, particularly in the UK. We will continue to work closely with Neste and ExxonMobil, as well as wider industry partners, to find innovative solutions to achieve this goal."

Jonathan Wood, Vice President Renewable Aviation from Neste, said: "We are delighted to provide Virgin Atlantic with our Neste MY Sustainable Aviation Fuel. Neste is committed to working together with the aviation industry to achieve its emission reduction targets. We are ready to support the aviation industry and UK government's policy ambitions to increase the use of SAF to at least 10% by 2030. We need to act now - SAF is a proven solution with clear climate benefits and is already available today."

Paul Greenwood, Chairman of Esso UK Ltd (a subsidiary of ExxonMobil), said: "We're proud to play our part in this pioneering agreement, facilitating a safe, secure and reliable supply of lower emission aviation fuel via our dedicated pipeline network."

Korean Air, Airbus, Seoul Incheon Airport and Air Liquide sign hydrogen fuel agreement

Korean Air signed (10-Feb-2022) an agreement with Airbus Korea, Incheon International Airport Corporation and Air Liquide to support the development of hydrogen supply infrastructure at Seoul Incheon International Airport and other airports in South Korea and facilitate the adoption of hybrid hydrogen powered aircraft.

Airbus Asia Pacific president Anand Stanley stated: "In the coming years, the Korean aerospace ecosystem will have to adapt to new fuels and new distribution channels".

Mr Stanley said: "Under the MoU, Airbus will provide characteristics of hydrogen-powered aircraft ground operations, as well as aircraft characteristics and fleet energy usage", adding "together we will prepare a roadmap to first develop hydrogen usages at and around Incheon Airport and then build scenarios to support the deployment of hydrogen ecosystems connected to other Korean airports". [more - original PR - Korean] [more - original PR - Airbus]

Original report - Korean: 대한항공, 수소 항공기 시대 인프라 구축 '박차'

대한항공이 미래 탄소중립 수소 항공기 시대에 대비, 국내 항공업계 수소 인프라 구축의 선구자로 나선다.

대한항공은 지난 2월 9일 오후 인천시 중구 인천국제공항공사 사옥에서 인천국제공항공사, 에어버스 코리아, 에어리퀴드 코리아와 '항공업계와 공항의 수소 공급 및 인프라 개발을 위한 업무협약'을 맺었다.

이날 행사에는 이수근 대한항공 안전보건 총괄 겸 Operation부문 부사장, 전형욱 인천공항공사 인프라본부장, 파브리스 에스피노자 에어버스코리아 대표, 기욤 코테 에어리퀴드코리아 대표 등이 참석했다.

이번 협약은 세계적인 항공기 제작사인 에어버스가 오는 2035년까지 수소 연료로 비행하는 항공기를 상용화하겠다는 마일스톤에 발맞춘 것으로 수소 항공기가 가져올 항공 업계의 패러다임 변화를 대한항공이 선도하겠다는 의미를 담고 있다.

협약은 각사가 미래 수소 항공기 시대에 대비 ▲공항 수소 인프라 개발 ▲공항 수소 로드맵 구축 ▲수소 지상조업 체계 등의 부문에서 협력하는 것을 주요 내용으로 한다.

대한항공은 수소 항공기 운항에 대비해 지상조업·정비·운항 등 항공기 운항과 관련한 부문에서, 인천국제공항은 공항시설 부문에서 연구·개발을 하게 된다. 또한 에어버스는 한국 지역 수소 항공기 수요를 분석하게 되며, 에어리퀴드는 항공업계 수소연료 도입에 대한 로드맵을 구축하는 역할을 각각 하게 된다.

이수근 대한항공 부사장은 "이번 업무협약은 여타 산업군 대비 상대적으로 수소 도입이 늦은 항공업계와 공항 시설의 수소 공급 및 인프라 구축 체계 마련을 위한 상징적인 출발점"이라면서 "대한항공은 앞으로도 탄소중립과 한국 수소경제 활성화에 적극 기여해 나갈 것"라고 말했다.

한편, 지난해 국제항공운송협회(IATA)에서 오는 2050년까지 항공사들의 탄소 순배출량 '제로(0)' 실현 결의안이 통과되는 등 항공부문 탄소중립이 화두로 떠오르고 있는 가운데 대한항공은 다양한 부문에서 탄소감축을 위해 노력하고 있다.

대한항공은 지난해 현대오일뱅크와 바이오항공유 제조 및 사용 기반 조성 협력을 위한 양해각서(MOU)를 체결한데 이어 SK에너지로부터 탄소배율량이 '0'인 탄소중립항공유를 구매한 바 있다. 또한 대한항공은 동급 항공기 대비 좌석당 탄소배출량을 약 25% 줄인 에어버스 A220-300을 도입·운항 하는 등 친환경 고효율 항공기로 기단을 지속적으로 교체하고 있다.

대한항공은 항공업계를 선도하는 글로벌 항공사로서 기후변화에 선제적으로 대응하고 다양한 탄소 감축 수단으로 탄소중립 및 국내 수소경제 활성화에 기여해 나갈 예정이다.

DHL purchases 33m litres of SAF from AFKLMP Cargo

DHL Global Forwarding signed (08-Feb-2022) a three year cooperation agreement with Air France-KLM-Martinair Cargo (AFKLMP Cargo) for the purchase of 33 million litres of sustainable aviation fuel (SAF).

The partnership is expected to save over 80,000 tons of carbon dioxide emissions, by blending SAF with regular aviation fuel on AFKLMP services.

Customers can select the sustainable option through the 'book and claim' system when purchasing a DHL service, enabling the related Scope 3 emissions reduction to be credited to the customer's account.

The initiative forms part of Deutsche Post DHL Group's sustainability roadmap, which aims to spend EUR7 billion on green technologies by 2030 and reduce all logistics related emissions to zero by 2050. [more - original PR]

Original report: Another step towards sustainable air freight: DHL purchases 33 million liters of sustainable aviation fuel from Air France KLM Martinair Cargo

The three-year cooperation represents one of the most significant SAF purchases in the Freight Forwarding industry.

  • This deal represents one of the most significant sustainable aviation fuel purchases in the Freight Forwarding industry
  • Similar to DHL's other air and ocean freight cooperations, customers will benefit from CO2 reductions via a 'book & claim' system
  • DHL Global Forwarding and Air France KLM Martinair Cargo leverage their long-lasting partnership to drive further decarbonization in aviation

DHL Global Forwarding, the air and ocean freight specialist of Deutsche Post DHL Group, has signed an agreement with Air France KLM Martinair Cargo (AFKLMP) for the purchase of 33 million liters of sustainable aviation fuel (SAF). The three-year cooperation represents one of the most significant SAF purchases in the Freight Forwarding industry. DHL Global Forwarding is excited about this new endeavor with AFKLMP, which has been a long-term, reliable partner and one of the leaders in the Group's GoGreen carrier certification program for many years. The initiative is part of Deutsche Post DHL Group's Sustainability Roadmap, which aims to spend €7 billion on green technologies by 2030 and reduce all logistics-related emissions to zero by 2050.

"With our Sustainability Roadmap, we have set ourselves ambitious goals on our journey towards zero emissions. Sustainable fuels are a fundamental part of our efforts. That is why we have committed to covering at least 30 percent of air freight and ocean freight fuel requirements with sustainable fuels by 2030. Our partnership with AFKLMP will help us achieve that goal. At the same time, it serves as another example of the success of our 'book & claim' system, which ensures that reductions in Scope 3 emissions are attributed to our customers. We must all work together to accelerate the transition to a low-carbon - and ultimately zero-carbon - emissions transport sector. After all, we only have one planet," says Tim Scharwath, CEO DHL Global Forwarding, Freight.

The collaboration underpins DHL's efforts to support sustainability, recognizing the vital role of SAF in decarbonizing the air freight industry. The logistics expert expects the partnership to save 80,000+ tons of carbon dioxide emissions by blending SAF with regular aviation fuel in AFKLMP flights. The higher proportion of SAF, the lower the carbon emissions. This way, actual carbon reduction is achieved. DHL allocates the benefits to its customers, helping them reduce their carbon footprint.

"The Air France KLM Martinair Cargo teams are strongly committed and feel responsible for creating a sustainable future for our industry. This deal is a great opportunity to accelerate our joint sustainability efforts. Sustainable aviation fuel (SAF) has a lot of potential to reduce CO2 emissions and we are delighted to collaborate with our strong, long-term partner DHL Global Forwarding on this journey to greener logistics and transportation in the coming years," says Adriaan den Heijer, EVP Air France KLM Cargo and Managing Director Martinair.

DHL's partnership with AFKLMP will work similarly to earlier collaborations, with customers benefiting from the partnership through a 'book and claim' system. When purchasing a DHL service, they can select the sustainable option. The related Scope 3 emissions reduction will be credited to their account. Since it is nearly impossible both technically and logistically to physically track SAF from production to the airplane, 'book & claim' offers a digital accounting system to track and transfer emissions reductions from sustainable fuels across the value chains. Companies can own SAF by buying and selling it without physically tracing the fuel through the supply chain. This makes SAF accessible for companies of all sizes and locations.

easyJet to implement SkyBreathe solution to reduce fuel burn and carbon emissions

easyJet announced (07-Feb-2022) plans to implement OpenAirlines' SkyBreathe solution to reduce fuel burn and carbon emissions.

The cloud based solution uses artificial intelligence to collect and analyse aircraft data and combine it with payload, weather, maintenance, flight path and air traffic control information, identifying relevant fuel saving opportunities and allowing for implementation of the most efficient procedures. [more - original PR]

Original report: easyJet adopts SkyBreathe® 360° eco-flying platform to reduce CO2 emissions

easyJet, Europe's leading airline, has chosen SkyBreathe®, an advanced eco-flying solution to reduce the fuel burn and thus CO2 emissions of their fleet, as part of their ambition to reduce their carbon footprint from flying across Europe.

Most aviation emissions come from fuel consumption and the resulting carbon emissions. SkyBreathe® is an innovative eco-flying solution developed by OpenAirlines. It is based on Cloud, Artificial Intelligence and Big Data and enables airlines to save fuel and reduce their carbon footprint by up to 5%.

Under the agreement, the fuel management software will automatically collect and analyze the data from the 300+ aircraft operated by easyJet and combine them with data from other sources, including payload, weather conditions, maintenance, flight paths, and Air Traffic Control.

The solution will identify the most relevant fuel saving opportunities and generate actionable insights shared with all stakeholders through synthetic and easy-to-read dashboards. Based on this information, the airline will benefit from a thorough understanding of its operations. The solution allows for the implementation of the most efficient procedures on the ground (pushback, taxi, takeoff, turnaround, etc.) and during flight (climb, cruise, approach, landing, etc.) to maximize carbon reduction.

"easyJet has committed to reaching net-zero carbon emissions flying by 2050 and so we are working with a range of partners to reduce our carbon emissions today as well as accelerate the development of carbon-free technology in the future. The adoption of SkyBreathe® enables us to more easily identify where improvements can be made now, which will play an important role in reducing our carbon emissions with immediate and concrete results. We continue to offset the carbon emissions from the fuel used for all our flights," said Captain David Morgan, Director of Flight Operations at easyJet.

"Today, our industry faces many challenges, but also an unprecedented opportunity to transform the way we fly. It is more important than ever for airlines to operate more sustainably and easyJet is taking full responsibility and leading the way to address the carbon impact from its flights. We're delighted to be working with such an enthusiastic and dedicated partner," said Alexandre Feray, CEO, OpenAirlines.

easyJet joins the very active community of 50+ airlines worldwide today using SkyBreathe®, including Air France, Norwegian, IndiGo, Flydubai, and Atlas Air.

Etihad Guest launches sustainable credit card with Visa and First Abu Dhabi Bank

Etihad Guest launched (03-Feb-2022) a sustainably focused Visa credit card in partnership with UAE's First Abu Dhabi Bank (FAB).

The offering is enabled by German digital green finance partner ecolytiq, providing Sustainability as a Service technology to track and process sustainable consumer behaviours.

The FAB Etihad Guest Visa Sustainable Card will reward customers for sustainable purchases and provide options to offset related emissions, building on Etihad's industry first Conscious Choices rewards initiative. [more - original PR]

Original report: Etihad Guest partners with First Abu Dhabi Bank and Visa to create the world's first Visa co-branded sustainable credit card proposition to reward sustainable choices

Members will earn miles and benefits for sustainable spending and making ecofriendly choices when using their FAB Etihad Guest Visa Sustainable card
Cardholders will have the ability to use their miles to offset emissions from their credit card spends

Abu Dhabi, United Arab Emirates - Etihad Guest, the award-winning loyalty programme of Etihad Airways, and the UAE's largest bank First Abu Dhabi Bank (FAB), in partnership with Visa, the world leader in digital payments, will launch a sustainably-focused Visa credit card. The card will reward shoppers for making sustainable choices in their everyday spending habits.

The FAB Etihad Guest Visa Sustainable Card will introduce a series of sustainability-focused benefits that will educate and reward members for making sustainable choices and provide options to offset emissions for their spending. The partnership is powered by ecolytiq, provider of digital infrastructure for green finance, which will provide the Sustainability-as-a-Service® technology to track sustainable spending. This will support the change of behaviour and issuance of rewards for those making sustainable spending choices.

Etihad is the first airline in the region to reward frequent flyers for being more sustainable in the air and on the ground. Through Conscious Choices, Etihad Guest members are rewarded for offsetting their flights with miles, carrying less baggage on board, and purchasing sustainable products in the Reward Shop. In their daily lives, when not flying, members can also earn Tier Miles by offsetting everyday emissions such as driving, as well as emissions such as cooling your home or cooking your dinner, or by donating miles to a meaningful cause.

FAB maintains a leading position in the regional sustainable finance sector. It was the first MENA Bank to issue a green bond and has financed over USD 30 Billion in sustainable projects to date. The bank became a signatory to the Abu Dhabi Sustainable Finance Declaration, initiated by Abu Dhabi Global Market (ADGM), which advocates sustainable finance and investments for long-term economic growth. Subsequently, the FAB Sustainable Finance Framework was created and used to fund projects that deliver tangible environmental and social benefits. In 2021, the bank executed the first green repurchasing ('repo') transaction in the Middle East, structured in partnership with Deutsche Bank. FAB was also the first bank in the region to commit to net-zero greenhouse gas emissions by 2050 and to join the Net-Zero Banking Alliance and was part of the official UAE delegation to the COP26 climate conference.

FAB's focus on sustainability was recently recognised by MSCI with its ratings for the bank upgraded to AA, defining FAB as an "ESG Leader".

Visa recently launched Visa Eco Benefits, a new package of sustainability-focused benefits for account issuers designed to enable and encourage cardholders to engage in sustainable consumption behaviours.

Terry Daly, Executive Director Guest Experience, Brand & Marketing, Etihad Airways, said: "We're delighted to extend our Conscious Choices sustainability offering to consumers and Etihad Guest members by providing more opportunities to reward sustainable lifestyle choices through our partnership with FAB and Visa. The FAB Etihad Guest Sustainable Visa Credit Card will allow our members to understand where they can act more sustainably and provide incentives every time they make the sustainable choice in their everyday living and purchasing."

Futoon Almazrouei, Group Head of Consumer Banking, First Abu Dhabi Bank, said: "FAB is proud of its role as an advocate for sustainability in the region and our track record is a testament to our efforts. Our partnership with Etihad on the FAB Etihad Guest Visa Sustainable Card is a natural progression of our journey to date and takes our commitment a step further by encouraging our customers to make more sustainable choices in their everyday life. Last year we became the first bank in the region to commit to net-zero greenhouse gases by 2050, in support of the UAE's commitment to drive progress. In addition to the steps, we are taking as a Group to achieve this, we are looking to collaborate and partner with our customers as we work together to create a positive outcome for generations to come."

Andrew Torre, Visa's Regional President for Central and Eastern Europe, Middle East and Africa, said: "Sustainability lies at the core of truly inclusive economic growth, and at Visa, we are committed to advancing sustainability within both our business operations and across the payments landscape. With the FAB Etihad Guest Sustainable Visa Credit Card, we are pleased to work together to drive sustainable commerce and climate action, while meeting growing demand from cardholders who care passionately about sustainable consumption and living. Together with Etihad Guest and FAB, we are proud to announce the first partnership globally leveraging Visa Eco Benefits for a sustainability-focused co-branded credit card program that will help guide and encourage sustainable choices."

The launch of Etihad Guest Conscious Choices and the FAB Etihad Guest Sustainable Visa Credit Card are the latest initiatives under Etihad's overarching sustainability ambition to achieve net zero emissions by 2050 and halve 2019 emissions by 2035. Travellers wishing to fly and spend more consciously and sustainably can now earn Tier Miles, and other rewards, for making sustainable choices.

Over the last two years, despite the challenges of COVID-19, Etihad has introduced several significant CO2 reduction initiatives under its Greenliner sustainability programme. This includes adopting thousands of mangroves, using sustainable fuels, reducing contrails, flying optimised flight paths, operating more electric vehicles and working with partners who share its vision for cleaner skies.

"It's important for us to extend our own sustainability ambitions to empower our members and guests to contribute in their own way. We know this is a priority and a cause close to the heart of many of our guests and partners. As a corporate citizen, we are privileged to be in a position to help educate consumers to understand their carbon footprint, not just from travel but from their everyday spend. Consequently, we are proud to reward our guests and members for making a conscious decision to reduce their impact on the environment," added Terry Daly.

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