Qantas Group Releases Update to Long Term Strategy, Calls for Sustainable Aviation Fue

Today, the Qantas Group held its Investor Day, at which we set out the Group's strategy through to 2030.

A key element of that plan remains the Qantas Group's commitment to driving sustainable outcomes for the aviation industry through credible and ambitious sustainability targets.

Managing climate change is now built into how the Qantas Group does business and as the National Carrier, we recognise the role we play in driving the development of the solutions needed to decarbonise our industry and protect the future of travel.

As a part of this commitment, today we launched the Qantas Climate Fund, an AUD$400 million investment dedicated to developing the solutions we need to meet our sustainability targets and reduce our impact on the planet - in the air and on the ground.

The Qantas Climate Fund brings together the ~AUD$290 million jointly committed by Qantas and Airbus in June 2022 as well as a further AUD$110 million Qantas Group investment in sustainability projects and technologies across sustainable aviation fuel, high integrity offsets, carbon removal technology and efficiency and waste reduction. Together, this represents the largest sustainability investment initiative of any airline globally.

To help kickstart local production of sustainable aviation fuel, the Qantas Group is calling for the Australian Government to introduce a SAF blending mandate as part of a broader framework of industry policies, similar to those already announced in other jurisdictions. The UK, Europe and Japan have set or proposed mandates of between 5 and 10 per cent by the end of the decade and the US has set a 2030 production target of 3 billion gallons per year.

While international jurisdictions are moving quickly, Australia is showing signs of positive momentum towards capitalising on this strategic opportunity - including through the establishment of the Jet Zero-style Council. This forum will be critical in shaping the policy environment to support the development of an Australian industry.

Sustainable aviation fuel is the most significant tool airlines currently have to reduce emissions, particularly given it can be used in today's engines and fuel delivery infrastructure with no modifications.

Qantas is currently purchasing sustainable aviation fuel sourced overseas, including 10 million litres for flights out of London in 2023, and, from 2025, 20 million litres per year for flights out of California.

Domestically produced sustainable aviation fuel will be a key part of the Qantas Group reaching its commitment to use 10 per cent SAF in its overall fuel mix by 2030 and around 60 per cent by 2050.