Airlines, renewables companies push Biden to make air travel greener

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U.S airlines and renewables companies are lobbying the Biden administration to back a big increase in subsidies for lower-carbon aviation fuel, arguing new incentives are needed to help fight climate change and will also make their recovery from the pandemic much greener...

NEW YORK - U.S airlines and renewables companies are lobbying the Biden administration to back a big increase in subsidies for lower-carbon aviation fuel, arguing new incentives are needed to help fight climate change and will also make their recovery from the pandemic much greener, industry trade groups told Reuters.

Air travel contributes around 2% of global greenhouse gas emissions, the Air Transport Action Group said. It is projected to grow rapidly in coming decades if airlines do not quickly switch to “sustainable aviation fuel.” “The difference is we’ve got an ear now that’s much more sympathetic to figuring out near-term solutions to policy, research and development,” said Bryan Sherbacow, chief commercial officer for low-carbon fuels provider World Energy.

The FAA said in a statement to Reuters that it could not verify information about specific meetings, though it said it was a “strong proponent” of sustainable aviation fuels.Airlines for America , which represents U.S. airline companies, including United, American Airlines and Southwest, said it has also been in contact with the Biden administration’s climate change officials to discuss expanding the sustainable aviation fuel market.

Currently, sustainable aviation fuel producers are eligible for a $1 per gallon subsidy under an existing federal biodiesel tax credit. The fuel is also eligible for incentives under the U.S. Renewable Fuel Standard and California’s Low Carbon Fuel Standard, which both encourage clean fuel production by generating tradable credits.

“Aviation is likely to be a source of carbon emissions for a very long time,” said Robert Campbell, head of oil products research at Energy Aspects. “The decarbonization options for aviation are challenging, to say the least.”Several other countries have already proposed sustainable aviation fuel mandates or are exploring them as a means of addressing increasing carbon output from air travel.

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