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EU countries set to finalize first green aviation fuel goals

(Reuters) - European Union countries are set to finalize targets for airlines to increase their use of sustainable fuels as an initial step towards curbing CO2 emissions from aviation, a final version of the law showed.

The sustainable aviation fuel targets are the EU's attempt to cut flight emissions pending breakthrough technologies such as zero-emission aircraft, which are not expected for at least a decade.

The final law, which diplomats from EU countries will review on Wednesday, confirms a political deal reached with the European Parliament last month.

Under the rules, fuel suppliers must ensure that 2% of fuel made available at EU airports is sustainable aviation fuel (SAF) in 2025, rising to 6% in 2030, 20% in 2035 and gradually to 70% in 2050.

From 2030, 1.2% of fuels must also be synthetic fuels, rising to 35% in 2050.

The proposal aims to increase both demand for and supply of SAF, which has net-zero CO2 emissions or lower CO2 emissions than fossil fuel kerosene. Such fuel is not yet produced at scale and is far more expensive than conventional fuels.

Airlines have given the EU plan a mixed reception.

Air France-KLM has said its voluntary SAF targets are more ambitious than the EU law.

Lufthansa has said the law could distort competition internationally as the SAF targets would apply to airlines flying from European hubs but not to long-haul carriers flying from outside the European Union.

Laurent Donceel, Acting Managing Director of industry group Airlines for Europe, said policymakers should match the targets with more support to build up a European SAF industry.

"The EU needs to think about SAF the way it thinks about wind turbines, solar panels and other sustainable technologies," he said.

EU countries and the European Parliament have yet to officially endorse the text, but at this stage of the legislative process their approval is usually a formality.

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