The RTFA warmly welcomes this Government announcement

  • RTFA successfully argued that the buy-out levels proposed in the second consultation were insufficient. The higher levels announced today should certainly achieve the desired results for waste based SAF.
  • The Revenue Certainty Mechanism is essential for establishing a domestic SAF industry. The RTFA had been calling for a means of stabilising revenue since January 2021. It is an essential requirement to enable project developers to raise funding to build their SAF production plants.

Gaynor Hartnell, Chief Executive of the RTFA, said:

“The Government has got the balance about right. The challenge is how to bring forward all three broad categories of SAF in a timely fashion.  HEFA, which is SAF made from waste oils, is available now, and will comprise the first wave of SAF use. SAF made from other wastes will follow. This SAF is more expensive, but is less constrained in terms of feedstock resource than HEFA. Finally, there is the power-to-liquid SAF which may eventually dominate, but at present is considerably more expensive.

The UK’s policy is unique in that the amount of HEFA will be capped, which will create a demand for SAF from waste. This, coupled with private law contracts made available via the Revenue Certainty Mechanism, will make the UK a very attractive market. A disappointment is that Guaranteed SAF Price contracts are not available in time for the onset of the Mandate.”

See a map of prospective SAF projects can be found here.

Some other information on SAF can be found here.