{"id":2452,"date":"2022-01-31T12:37:52","date_gmt":"2022-01-31T12:37:52","guid":{"rendered":"https:\/\/www.greenairnews.com\/?p=2452"},"modified":"2022-03-10T09:30:08","modified_gmt":"2022-03-10T09:30:08","slug":"iberia-partners-with-energy-group-cepsa-to-develop-sustainable-fuels-for-aircraft-and-ground-fleets","status":"publish","type":"post","link":"https:\/\/www.greenairnews.com\/?p=2452","title":{"rendered":"Iberia partners with energy group Cepsa to develop sustainable fuels for aircraft and ground fleets"},"content":{"rendered":"\n

Spanish airline group Iberia<\/a> has partnered with Madrid-based global energy company Cepsa<\/a> to research, develop and procure sustainable aviation fuels, and to explore other low-or-no-emission energy sources including renewable hydrogen and electricity to power ground service vehicles and aircraft tugs at airports. Cepsa will develop \u201con a large scale\u201d SAF produced from waste, recycled oils and sustainable plant-based feedstock, while providing Iberia and its low-cost sibling Iberia Express with \u201cpreferential access\u201d to the fuels, reports Tony Harrington<\/em>. \u201cThis alliance illustrates our commitment to sustainability and our strong resolve to support our customers by providing them with viable solutions that accelerate their energy transition,\u201d said Maarten Wetselaar, Cepsa\u2019s newly-appointed CEO. \u201cAs a leader in the supply of fuels to the airline industry, we share with the Iberia Group the common goal of promoting the decarbonisation of transport as a tool in the fight against climate change.\u201d<\/strong><\/p>\n\n\n\n

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Sustainable aviation fuel is a core element of Iberia\u2019s broad-based environmental strategy, says the airline, which also includes aircraft fleet renewal, greater fuel efficiency, elimination of single-use plastics on flights, improved waste management and increased use of digital processes. Iberia\u2019s parent company, International Airlines Group<\/a>, which also owns British Airways, Aer Lingus and low-cost carriers Vueling and Level, has committed it will reduce net CO2 emissions by 20% between 2019 and 2030, while the oneworld airline alliance, of which Iberia and British Airways are members, is targeting by 2030<\/a> that 10% of the collective fuel volumes of its 14 member airlines will comprise SAF.<\/p>\n\n\n\n

In a joint statement<\/a>, Iberia and Cepsa said: \u201cThe development of sustainably-sourced aviation fuels is a priority for moving towards an increasingly low-carbon industry and contributing to the achievement of the 2030 agenda.\u201d They said their partnership, which will include SAF research and flight testing, would also contribute to three of the key sustainable development goals set by the United Nations \u2013 goal 7, to \u201censure access to affordable, reliable and modern energy services\u201d, goal 8, to \u201cpromote inclusive and sustained economic growth, employment and decent jobs\u201d, and goal 13, to \u201ctake urgent action to combat climate change and its impacts.\u201d<\/p>\n\n\n\n

Additionally, the Iberia-Cepsa collaboration is intended to align with the European Commission\u2019s \u2018Fit for 55\u2019 climate agenda, which includes the \u2018ReFuelEU Aviation<\/a>\u2019 initiative, designed to increase supply of and demand for aviation biofuels in the European Union by proposing SAF blending mandates of at least 2% by 2025, 5% by 2030, and 63% by 2050.<\/p>\n\n\n\n

\u201cTo decarbonise the aviation sector, the development, production and distribution of sustainably-sourced fuels at affordable prices, and in sufficient quantity to supply airlines, is essential,\u201d said Iberia CEO Javier Sanchez-Prieto.  \u201cWe are confident that this agreement with Cepsa will contribute to that goal.\u201d<\/p>\n\n\n\n

The CEO of Iberia Express, Carlos Gomez, added: \u201cIt is time to create synergies between companies that have the same objective: developing our business and operations while minimising our environmental impact. This agreement is an important step on our path towards more sustainable air transport.\u201d<\/p>\n\n\n\n

Cepsa has two well-resourced global shareholders to help fund SAF development: Mubadala Investment Company<\/a>, which is wholly-owned by the Abu Dhabi government, and US-based global private equity company The Carlyle Group<\/a>. Together, they manage global assets valued at more than $536 billion.<\/p>\n\n\n\n

\u201cWith this agreement,\u201d said Cepsa and Iberia of their partnership, \u201cthe airline secures preferential access to a scarce fuel (biojet), and a competitive advantage for both customers and investors, thanks to better ratings on sustainability indexes. Other benefits include boosting the circular economy, increasing energy independence and ensuring an important driver of the Spanish economy. In addition, these fuels can be used immediately with existing supply infrastructures and without the need for fleet renewals.\u201d<\/p>\n\n\n\n

The reference by Cepsa and Iberia to investor sustainability ratings is clear acknowledgement of the growing attention being paid by investors and major fund managers to corporate sustainability programmes and outcomes, as consumers increasingly factor into their purchases the environmental action strategies of suppliers. Late last year, aviation data group CAPA<\/a> and carbon reduction consultancy Envest Global<\/a> produced The Airline Sustainability Benchmarking Report, which found corporations, and increasingly individual consumers, were sourcing their air travel not just based on typical features such as price and schedule, but also on the climate action strategies and performance of specific airlines (see article<\/a><\/em>). The report highlighted climate activism by shareholders and investors as \u201can existential threat\u201d to airlines with poor sustainability strategies, and warned that \u201cmultiple airlines\u201d could fail in the next three to five years if they did not demonstrate meaningful commitment to decarbonising their operations.\u00a0\u00a0\u00a0<\/p>\n\n\n\n

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Photo: Iberia<\/strong><\/p>\n\n\n\n