New report by Deloitte Canada outlines a pathway to scale Sustainable Aviation Fuel in Canada Français
The report shares the results of collaboration across the aviation and clean fuel ecosystems, and a potential path forward to help this hard to decarbonize industry meet its climate targets
TORONTO, April 13, 2022 /CNW/ - According to a new report by Deloitte Canada, in order for Canada to achieve its net-zero carbon emissions by 2050, it needs to take immediate action to decarbonize its economy, including hard to decarbonize industries, such as aviation. The report, Reaching cruising altitude: A plan for scaling sustainable aviation fuel in Canada, explores ways to foster the use and production of Sustainable Aviation Fuel (SAF), while positioning Canada as a leader in clean energy.
The report maps a path forward to making progress, accelerating Canadian capabilities and partnerships, and identifying mechanisms that can advance the adoption of Sustainable Aviation Fuel. SAF is a critical component of the decarbonization of the aviation industry and plays a part in Canada's energy transition.
"Meeting Canada's net-zero commitment by 2050 requires that every sector in the economy undergoes deep decarbonization, including the aviation industry" says Nathan Steeghs, Partner, Risk Advisory, Deloitte Canada. "Aviation has fewer and less affordable emission-reduction options than most sectors, and its share of global emissions will increase over time. Replacing petroleum jet fuel with SAF can have tremendous and direct impact on decarbonization. This report reinforces our commitment to tackle climate change through bold action."
Following a series of interviews, surveys, and workshops with stakeholders from across the aviation and clean fuel value chain, including major airlines, the report states that Canada is well positioned to lead in the production of clean fuels, thereby creating jobs and supporting continued economic growth. To lead, the country will have to introduce measures to accelerate low-carbon fuel.
"The good news is that SAF is compatible with current aircraft and infrastructure and can substantially lower the life-cycle carbon emissions of aviation fuel," says Andrew Pau, Partner, Consulting, Deloitte Canada. "If Canadians do not find ways to scale the supply and uptake of SAF now, the aviation sector's contribution to greenhouse gas emissions will continue to grow and will cost Canadians more – in effort and impact – in the future."
Critical to the proposed pathway were Canadian-based solutions that will support resilient supply chains, allowing Canada to further diversify its economy and sustain the future workforce transition from employment in fossil fuels to renewable energy. The need for a made in Canada solution led to a focussed pathway with a series of proposed actions required to accelerate SAF production in Canada, the most pressing of which include:
- The establishment of a clear mandate for SAF leadership and governance, including, for example, a lead agency responsible for a multi-agency task force that mirrors the complexity of this emerging market, representing aviation, clean fuel, innovation, and investment expertise.
- Development and evaluation of SAF-specific policies in Canada in the context of a broader regulatory framework to decarbonize Canada's aviation sector.
- Early voluntary SAF procurement and agreement from public and private sectors.
- Accelerated action through industry partnerships that provide coordinated and consistent input and work directly with a government led task force.
While Canada's reliance on the aviation industry will only grow, the roadmap proposed in this report gives Canadians the opportunity to make a substantial impact on the planet's overall health, while ensuring Canada does not become reliant on importing clean aviation fuel. In the near to medium future Sustainable Aviation Fuel remains the core solution to decarbonizing air travel with important roles for both consumers and participants from across the aviation ecosystem.
To learn more about the proposed roadmap for decarbonizing the Canadian aviation sector through the adoption of Sustainable Aviation Fuel, please visit: Reaching cruising altitude: A plan for scaling sustainable aviation fuel in Canada
Advanced Biofuels Canada, Aerospace Industries Association of Canada, Air Canada, Airbus, Biofuels Consulting/Forge, Bombardier, Canadian Oilseed Processors, Canfor/Arbios, Carbon Engineering, Collins Aerospace Canada, Environment Canada, FSM Group, C-SAF, GTAA, Irving Oil, McCrimmon Innovation Consulting, Nawitka Capital Advisors, Nieuport Aviation, Natural Resources Canada, Parkland, Purolator, Refuel Energy, SAF+ Consortium, Shell Canada, Suncor, Tidewater Renewables, Transport Canada, University of British Columbia, Vancouver International Airport, West Coast Reduction, WestJet
Air Canada is investing in SAF as one of several transformational strategies to support its net zero emissions by 2050 commitment. The continued collaboration of SAF ecosystem stakeholders to scale up sustainable, long-term SAF supply here in Canada will facilitate meaningful improvements towards aviation decarbonization, enable Air Canada to continue being a major economic contributor, and will also support Canada's climate change leadership position on the world stage.
- Teresa Ehman
Air Canada
Canada is well positioned to lead in the production of clean fuels, creating jobs and supporting continued economic growth for the country. However, other jurisdictions are moving quickly on policies to incentivize the use of Sustainable Aviation Fuel, leading to the expansion of the renewable diesel and SAF markets outside of Canada. A global SAF race has started. We must take action now to introduce measures to accelerate SAF production, including building production plants and resilient supply chains, and putting the necessary infrastructure in place before time runs out.
- Geoff Tauvette
C-SAF
Canadians rely heavily on aviation to connect communities and supply essential goods across our vast nation. What I have learned through this process is that, like YVR, the entire aviation industry's value chain is committed to reducing the greenhouse gas emissions tied to those connections. We are agreed that now is the time to scale up the supply and uptake of Sustainable Aviation Fuel to make a real impact.
- Marion Town
YVR
All parts of the SAF supply chain are part of the solution. Airports can play a leadership role since they are invested in the success of their regions. We want to see SAF available across Canada.
- Todd Ernst
GTAA
Deloitte provides audit and assurance, consulting, financial advisory, risk advisory, tax, and related services to public and private clients spanning multiple industries. Deloitte serves four out of five Fortune Global 500® companies through a globally connected network of member firms in more than 150 countries and territories bringing world-class capabilities, insights, and service to address clients' most complex business challenges. Deloitte LLP, an Ontario limited liability partnership, is the Canadian member firm of Deloitte Touche Tohmatsu Limited. Deloitte refers to one or more of Deloitte Touche Tohmatsu Limited, a UK private company limited by guarantee, and its network of member firms, each of which is a legally separate and independent entity. Please see www.deloitte.com/about for a detailed description of the legal structure of Deloitte Touche Tohmatsu Limited and its member firms.
Our global Purpose is making an impact that matters. At Deloitte Canada, that translates into building a better future by accelerating and expanding access to knowledge. We believe we can achieve this Purpose by living our shared values to lead the way, serve with integrity, take care of each other, foster inclusion, and collaborate for measurable impact.
To learn more about Deloitte's approximately 330,000 professionals, over 11,000 of whom are part of the Canadian firm, please connect with us on LinkedIn, Twitter, Instagram, or Facebook.
SOURCE Deloitte & Touche
Katie Watkins, Deloitte, 437-778-6339, [email protected]; Mike Filion, Deloitte, 514-463-8945, [email protected]
Share this article