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Video of the week: Decarbonisation without disruption – Australasia’s difficult SAF equation

Analysis

Aviation's decarbonisation challenge is particularly acute in Australasia and the Pacific, where vast distances, limited alternative transport options and relatively small aviation markets make the transition more complex than in many other regions.

Airlines are under growing pressure from governments, investors and customers to reduce emissions, yet the most immediate pathway - Sustainable Aviation Fuel (SAF) - remains expensive and supply constrained. The cancellation of the Oceania Biofuels project underlines the difficulty of establishing a competitive regional production industry, even as airlines pursue their own initiatives and partnerships.

At the same time, carbon offsets remain an important mechanism for meeting regulatory and net-zero commitments, raising difficult questions over who should bear the cost of decarbonisation and how governments should support emerging industries.

This session from the CAPA Airline Leader Summit - Australia and Pacific in Adelaide in Ju-2026 examines whether Australasia can reconcile environmental ambition with economic reality - and whether policy, rather than passengers and airlines alone, must ultimately bridge the SAF cost gap.

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