The Australian Department of Foreign Affairs and Trade (DFAT) have announced a collaboration between University of South Australia (UniSA) aviation experts and their Chinese counterparts over the next two years to develop a sustainable aviation biofuel industry in both countries.
The announcement comes on the back of a $1.7 billion federal budget allocation to prioritise renewable fuels for the aviation industry over the next decade.
UniSA aviation professor Shane Zhang will receive a $230,000 National Foundations for Australia-China relations grant to lead the project that will explore the commercial opportunities of using bio feedstock to replace conventional kerosene jet fuels with green fuel.
While sustainable aviation fuels (SAFs) are still in their infancy and account for less than one per cent of jet fuels worldwide, Zhang says the federal government announcement follows the establishment of the Australia Jet Zero Council in 2023 to deliver net-zero aviation in Australia.
“Sustainable aviation fuels can potentially cut carbon emissions by up to 80 per cent and are essential if we are to achieve net-zero greenhouse gas emissions in Australia 2050,” Zhang says.
The alternative liquid jet fuel is derived from several sources or feedstock, including waste oil and fats, woody residues, algae and municipal waste. It needs to be mixed with conventional fuel (50 per cent) to avoid any modifications to the engine and aircraft, in line with international regulations.
While the fuel isn’t yet produced in Australia, Jet Zero Australia is working with US biotechnology company LanzaJet to build a new SAF facility in north Queensland, while Wagner Sustainable Fuels and Boeing Australia are collaborating on a site in Toowoomba and the NSW pledged up to $100 million to start local production.
The federal government has also allocated an additional $18.5 million over four years to develop a certification scheme for sustainable aviation fuels and renewable diesel.
“There is a lot of potential to produce sustainable aviation fuels in Australia and China, as both countries have large quantities of bio feedstock and the market is untapped,” Zhang says.
“Australia is among a handful of countries globally to support the transition to SAFs, but the financial commitment to develop a local industry does not extend to a mandate at this stage.”
Airservices Australia has set a target of reducing CO2 emissions per flight by an average of 10 per cent by 2030. Globally, aviation accounts for approximately three per cent of global emissions, but this could rise to 22 per cent by 2050 as more people fly and other sectors decarbonise more quickly according to Zhang.
“Unlike ground transportation, there are limited alternative fuel options for the aviation sector. Sustainable fuels are one of them, but they are up to five times more expensive than traditional fuel and airlines are reluctant to invest in them until they become cheaper and more readily available,” Zhang says.
“Likewise, biotechnology companies need a guaranteed market from airlines before they commit to developing SAFs, so the hesitation runs both ways.”
Zhang and his Chinese colleagues will organise and develop eight events in Australia and China over the next two years, bringing industry, farmers and stakeholders together to look at how sustainable aviation fuels can be commercialised.
“The technology is ready and mature, and the federal government has sent a clear signal about its support for greener aviation fuels. We just need to overcome the challenges and find the right path,” Zhang says.