Sustainability Atlas
Mobility & Built Environment·12 min read··...

Playbook: adopting Sustainable aviation & shipping in 90 days

A step-by-step rollout plan with milestones, owners, and metrics. Focus on unit economics, adoption blockers, and what decision-makers should watch next.

In 2024, global sustainable aviation fuel (SAF) production doubled to 1 million tonnes—yet this represented just 0.3% of total jet fuel consumption (IATA, 2024). Meanwhile, maritime shipping saw a 50% surge in alternative-fuel vessel orders, with 600 ships ordered in 2024 alone, bringing the total orderbook to 1,737 vessels capable of running on ammonia, methanol, or other low-carbon fuels (Lloyd's Register, 2024). These figures reveal a sector at an inflection point: the technology exists, regulatory pressure is mounting, and first-movers are securing competitive advantages—yet the vast majority of aviation and shipping operations remain locked into fossil fuels. This playbook provides a structured 90-day implementation framework for organisations seeking to transition their transport-related emissions, whether through direct fuel switching, procurement policies, or supply chain engagement.

Why It Matters

Aviation and shipping together account for approximately 5% of global CO₂ emissions, with international shipping alone responsible for roughly 1 billion tonnes annually (IEA, 2024). Unlike road transport, where electrification offers a clear decarbonisation pathway, these sectors face unique challenges: long-haul distances, high energy density requirements, and dispersed refuelling infrastructure make battery solutions impractical for most applications. Sustainable aviation fuel and alternative marine fuels—green methanol, ammonia, and hydrogen derivatives—represent the primary viable pathways for deep decarbonisation.

The regulatory environment has intensified dramatically. CORSIA Phase 1 launched in January 2024, requiring airlines operating between 126 participating countries to offset emissions above 85% of 2019 levels using approved carbon credits. Estimated compliance costs will reach £1.4 billion by 2026 (IATA, 2025). For shipping, the International Maritime Organisation (IMO) has committed to net-zero emissions by 2050, with interim targets of 20–30% reduction by 2030 and 70–80% by 2040 compared to 2008 levels. The EU has already incorporated shipping into its Emissions Trading System (ETS), requiring 40% emissions coverage from 2024, rising to 100% by 2026.

Beyond compliance, organisations face growing pressure from customers, investors, and supply chain partners. Major brands including H&M, HP, and Amazon have committed to decarbonising their logistics operations, creating procurement incentives for shipping lines and airlines that can demonstrate verifiable emissions reductions. For corporate sustainability teams, the question is no longer whether to act, but how quickly and cost-effectively they can implement changes.

Key Concepts

Sustainable Aviation Fuel (SAF)

SAF encompasses any jet fuel produced from non-fossil sources that meets stringent aviation specifications. The dominant production pathway today is HEFA (Hydroprocessed Esters and Fatty Acids), accounting for approximately 80% of SAF production through 2030. HEFA uses waste feedstocks—primarily used cooking oil and animal fats—to produce drop-in fuels that can blend up to 50% with conventional jet fuel. Lifecycle greenhouse gas reductions range from 50% to 80% compared to fossil kerosene, depending on feedstock and production methods.

Emerging pathways include Alcohol-to-Jet (AtJ), Fischer-Tropsch synthesis, and Power-to-Liquid (PtL) or e-fuels, which use renewable electricity to produce synthetic hydrocarbons from captured CO₂. While e-fuels offer near-complete lifecycle decarbonisation potential, they remain at pilot scale with significantly higher production costs.

Alternative Marine Fuels

For shipping, two primary fuel pathways have emerged: methanol and ammonia. Methanol offers immediate practicality—60+ vessels currently operate on methanol, with 300+ on order—due to existing bunkering infrastructure and mature engine technology. Green methanol, produced from renewable hydrogen and captured CO₂ or biomass, can reduce well-to-wake emissions by up to 95%.

Ammonia presents a longer-term solution with potentially greater scale. Containing no carbon, ammonia combustion produces zero CO₂ at point of use. However, commercial ammonia-fuelled vessels only begin deliveries in late 2025/early 2026, and bunkering infrastructure remains at demonstration phase. Both fuels face a common bottleneck: the availability of green production at scale and competitive prices.

Sector-Specific KPIs

Organisations implementing sustainable transport strategies should track metrics across multiple dimensions:

KPIAviation Target RangeShipping Target RangeMeasurement Frequency
Alternative fuel blend rate (%)2–10% by 20275–15% by 2030Quarterly
Well-to-wake CO₂ intensity (gCO₂/t-km)<500 (from ~800)<8 (from ~11 gCO₂/t-nm)Annual
CORSIA/ETS compliance cost (£/tonne)<50 (offsets)Variable (ETS price)Annual
Green fuel procurement (% of total spend)5–15% premium acceptance10–25% premium acceptancePer contract
Supplier decarbonisation coverage (%)>50% of freight>50% of shipping linesAnnual

What's Working

SAF Offtake Agreements and Book-and-Claim

Forward purchase agreements have proven effective for securing SAF supply while managing price volatility. Airlines including United, Emirates, and Air New Zealand have signed multi-year offtake contracts with producers such as Neste and World Energy. Neste alone supplied SAF to over 40 airlines in 2024, with production capacity reaching 1.5 million tonnes annually and expansion to 2.2 million tonnes planned by 2027 (Neste, 2024).

Book-and-claim systems, where SAF emissions reductions are certified and traded separately from physical fuel delivery, have expanded access for airlines operating at airports without SAF infrastructure. This approach allows companies to claim emissions reductions regardless of where SAF is physically uplifted, accelerating market development.

Methanol-First Shipping Strategies

Maersk's pioneering commitment to green methanol demonstrates a viable transition pathway. Since launching the Laura Maersk—the world's first container ship operating on green methanol—in September 2023, the company has added seven additional dual-fuel vessels in 2024. Ships running on green methanol save approximately 280 tonnes of CO₂ per day compared to conventional fuel (Maersk, 2024). Crucially, Maersk has secured offtake agreements covering more than 50% of its expected 2027 fuel demand, partnering with suppliers across Europe, the US, and China.

Scope 3 Supply Chain Programmes

Leading companies have successfully integrated transport decarbonisation into broader supply chain sustainability programmes. By offering preferential shipping terms to carriers demonstrating emissions reductions, buyers create market incentives that accelerate transition. Amazon's Climate Pledge includes commitments to net-zero carbon shipments, directly influencing carrier behaviour across its vast logistics network.

What's Not Working

SAF Price Premiums Remain Prohibitive

Despite production growth, SAF prices remain 3–5 times higher than conventional jet fuel, with some markets seeing 10x premiums. In 2024, airlines paid £2.4 billion in premiums for 1.9 million tonnes of SAF globally—a cost burden that limits voluntary adoption (IATA, 2024). Without policy mechanisms to narrow this gap, SAF uptake will remain constrained to regulatory minimums and corporate sustainability commitments.

Green Fuel Production Lags Demand

Both SAF and green methanol face fundamental supply constraints. SAF production reached approximately 1 million tonnes in 2024 against global jet fuel consumption of 300+ million tonnes. For shipping, Maersk and other early movers acknowledge that green methanol production cannot yet meet fleet demand at scale. EU data reveals that 81% of 2024 SAF feedstock came from used cooking oil, with 69% originating outside the EU—raising concerns about feedstock competition and supply chain sustainability (EASA, 2024).

Ammonia Infrastructure Delays

While ammonia offers compelling long-term potential, commercial bunkering infrastructure remains years behind schedule. The first dedicated ammonia bunkering vessel was only ordered in 2024 for 2027 delivery. Demonstration projects exist in Australia, China, Japan, Netherlands, Singapore, and the UK, but commercial-scale operations at major ports will not materialise before 2027–2028.

Key Players

Established Leaders

Neste (Finland): The world's largest SAF producer, with 1.5 million tonnes annual capacity expanding to 2.2 million tonnes by 2027. Operates refineries in Rotterdam, Singapore, and Finland, supplying major airlines globally.

A.P. Møller-Maersk (Denmark): The first major shipping line to operationalise green methanol vessels at scale. Has ordered 38 methanol-enabled vessels and committed to net-zero emissions by 2040, validated by the Science Based Targets initiative.

Air France-KLM Group (France/Netherlands): Among the first airlines to implement SAF procurement programmes, committing to 10% SAF blend by 2030 and developing joint ventures for SAF production in France.

Emerging Startups

Twelve (US): Produces e-SAF using captured CO₂ and renewable electricity, partnering with Alaska Airlines for commercial deployment. Raised $645 million in funding through 2024.

INERATEC (Germany): Develops modular Fischer-Tropsch reactors for decentralised e-fuel production, targeting 100,000 tonnes annual capacity by 2027.

Infinium (US): Produces electrofuels from CO₂ and green hydrogen, with commercial facilities in Texas producing e-methanol and e-diesel since 2024.

Key Investors & Funders

Breakthrough Energy Ventures: Bill Gates-backed fund investing in breakthrough aviation and shipping decarbonisation technologies, including Twelve and other e-fuel developers.

Climate Investment: UK-based fund focusing on decarbonisation infrastructure, including SAF production and green hydrogen projects.

European Investment Bank (EIB): Has committed €1.5 billion to sustainable transport projects, including SAF production facilities and port infrastructure upgrades.

Examples

1. British Airways and Phillips 66 Partnership

British Airways secured a multi-year SAF supply agreement with Phillips 66's Rodeo Renewed facility in California, which began SAF production in Q3 2024 with 10,000 barrels per day capacity. The partnership includes both physical SAF delivery to US operations and book-and-claim arrangements for UK flights. BA committed to 10% SAF blend by 2030, with intermediate targets requiring progressive increases from 2025. The airline reports that customer willingness-to-pay surveys show 40–60% of business travellers would accept modest fare increases to support SAF procurement.

2. CMA CGM Green Methanol Transition

French shipping giant CMA CGM ordered 12 methanol-powered container ships in 2023–2024, with the first vessels entering service in late 2025. The company secured green methanol supply agreements with producers in France and Egypt, while simultaneously investing in methanol production facilities through joint ventures. CMA CGM's approach demonstrates how shipping lines can vertically integrate fuel supply to de-risk transition timelines.

3. DHL Express Sustainable Aviation Programme

DHL committed €7 billion to sustainability initiatives through 2030, including the largest SAF purchase agreement in aviation history: 800 million litres over five years with bp. The logistics company combines SAF procurement with fleet modernisation (Boeing 777F conversions) and network optimisation to achieve 30% air emissions reduction by 2030. DHL offers corporate customers a GoGreen Plus service, allowing shippers to allocate SAF emissions reductions to their specific shipments through insetting rather than offsetting.

Action Checklist

  • Days 1–14: Baseline Assessment — Audit current aviation and shipping spend, map carrier relationships, and quantify Scope 3 transport emissions using supplier data or spend-based estimates.

  • Days 15–30: Market Engagement — Issue RFIs to current carriers requesting SAF/alternative fuel capabilities, pricing, and timeline commitments. Identify 2–3 alternative carriers with demonstrated sustainability credentials.

  • Days 31–45: Policy Development — Draft internal sustainable transport procurement policy, including acceptable price premiums (typically 5–15%), minimum blend requirements, and verification standards.

  • Days 46–60: Supplier Negotiations — Negotiate SAF/green fuel clauses into major shipping and freight contracts, securing book-and-claim certificates where physical supply is unavailable.

  • Days 61–75: Implementation Launch — Execute pilot programmes with lead carriers, implement tracking systems for alternative fuel consumption, and establish reporting protocols.

  • Days 76–90: Governance and Communication — Integrate transport decarbonisation metrics into sustainability reporting, brief executive stakeholders on progress, and develop external communications materials.

FAQ

Q: What is the realistic cost premium for SAF compared to conventional jet fuel?

A: SAF typically costs 3–5 times more than conventional jet fuel, though premiums vary significantly by region and supplier. In 2024, the EU average SAF price was €2,085/tonne versus €734/tonne for conventional jet fuel—a 2.8x premium. For corporate buyers, this translates to approximately £50–150 additional cost per tonne of CO₂ avoided. Many organisations absorb this through sustainability budgets or pass through modest increases to customers, with studies showing 60%+ of business travellers accept small fare increases for verified emissions reductions.

Q: How do we verify that SAF or green methanol actually reduces emissions?

A: Verification occurs through certification schemes and chain-of-custody documentation. For SAF, the International Sustainability and Carbon Certification (ISCC) and Roundtable on Sustainable Biomaterials (RSB) provide third-party verification of feedstock sustainability and production pathways. For shipping, class societies such as Lloyd's Register and DNV certify vessel emissions performance. Book-and-claim systems use registries to ensure each unit of alternative fuel is only claimed once, preventing double-counting.

Q: Should we prioritise aviation or shipping decarbonisation first?

A: The answer depends on your emissions profile and supply chain structure. Aviation typically offers more immediate opportunities due to established SAF markets and book-and-claim mechanisms, making it accessible even for organisations without direct carrier relationships. Shipping decarbonisation is often better suited for organisations with concentrated freight spend with a small number of carriers, where direct negotiation of fuel switching or vessel upgrades is feasible.

Q: What regulations should UK organisations prepare for?

A: UK organisations face multiple regulatory pressures. CORSIA Phase 1 (2024–2026) requires offsetting for international flights between participating countries. The UK Emissions Trading Scheme covers domestic aviation and is expected to incorporate shipping by 2026. The UK Maritime Decarbonisation Strategy (March 2025) targets 30% emissions reduction by 2030 and net-zero by 2050. Organisations should monitor upcoming Renewable Transport Fuel Obligation (RTFO) changes that may mandate SAF blending.

Q: How can smaller organisations access SAF without direct airline relationships?

A: Book-and-claim programmes allow any organisation to purchase SAF certificates regardless of which airline they fly. Providers including SkyNRG, Neste, and various airline partners offer corporate SAF purchasing programmes with flexible volumes. Travel management companies increasingly offer SAF as an optional add-on to flight bookings, enabling organisations to scale purchases with travel volumes.

Sources

Topics

sustainableaviationcapexe-fuelscompliancefleet electrificationbenchmark KPIs

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