Japan’s Ministry of Economy, Trade and Industry (METI) and the Ministry of Land, Infrastructure, Transport and Tourism (MLIT) have proposed a policy requiring the use of Sustainable Aviation Fuel (SAF) in aviation fuel supplied at major airports, beginning in fiscal 2030.
The proposal, presented at a public-private council meeting on Thursday, will apply to fuel suppliers, including oil wholesalers and trading companies. Under the plan, SAF must account for at least 1% of aviation fuel supplied for international flights at designated airports in fiscal 2030, rising to 3% in fiscal 2031 and at least 5% between fiscal 2032 and fiscal 2034, Market Watch reported.
The mandate will initially cover seven airports with the highest refuelling volumes, including Narita and Haneda airports.
To support the transition, the government will examine financial assistance for airlines using SAF from fiscal 2030. It is also considering introducing a uniform charge on air passengers to help finance the higher cost of the fuel.
The government plans to finalise the framework by the end of March next year with a view to amending the relevant legislation.
SAF, which is produced from feedstocks such as used cooking oil and other waste materials, can reduce lifecycle carbon dioxide emissions by up to 80% compared with conventional jet fuel. However, it currently costs two to three times more than petroleum-based aviation fuel.
Japan’s proposal aligns with global efforts to increase the use of sustainable aviation fuels. The European Union has already mandated SAF blending, targeting a 6% blend by 2030 and 70% by 2050. Some airports in the United Kingdom also subsidise SAF purchases using airport user charges.
METI and MLIT established a public-private council in April 2022 to develop a roadmap for SAF deployment and have been working with industry stakeholders on policies to expand production, distribution and adoption of the low-carbon aviation fuel.
