FedEx secures 3 million gallons of SAF for its LAX operations in one-year deal with Neste

FedEx, the world’s largest express cargo airline, has taken delivery of first supplies of blended sustainable aviation fuel under a one-year, three-million-gallon deal with Neste. The first two FedEx flights flew last month from Los Angeles International Airport (LAX) to Phoenix and Memphis, and the other to Indianapolis. This is the first time FedEx has deployed SAF in its US operations and is the largest SAF purchase made by a US cargo airline at LAX to date. The blended fuel, which will include a minimum 30% neat Neste MY SAF, will account for around a fifth of annual FedEx fuel usage at LAX. The carrier says the use of SAF is a part of its 2040 goal of carbon neutral global operations as it pursues multiple avenues to improve efficiency and reduce fuel consumption in its aviation operations overall.

“Procuring SAF is an important component of our aviation emissions-reduction strategy in the coming years, and we are pleased to have executed a deal with Neste to begin using this fuel in our air operations,” said Karen Blanks Ellis, Chief Sustainability Officer and VP Environmental Affairs at FedEx, commenting on the SAF purchase from Neste.

“Our aviation network represents the largest amount of FedEx fuel use globally and, as a result, is our biggest opportunity to drive down emissions. As we work towards our 2040 carbon neutral goal, we need the SAF market to continue to grow to meet industry demand.”

Added the airline’s CEO, Richard Smith: “As the world’s pre-eminent express transportation company, our initial US deployment of this fuel advances our sustainability goals and bolsters the aviation industry’s efforts to source and use more SAF.”

In addition to SAF, FedEx is improving fuel efficiency through aircraft fleet modernisation, fuel conservation initiatives and flight planning optimisation. These efforts, it says, enabled FedEx in fiscal year 2024 to achieve its goal of a 30% reduction in aviation emissions intensity from a 2005 baseline, having first set its intensity reduction goals back in 2008.

FedEx says it has avoided 972 million gallons of jet fuel and 9.5 million tonnes of CO2e since 2006 through 70 different fuel-saving projects under its Fuel Sense programme.

Photo: FedEx

Christopher Surgenor

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