Australia's largest import of sustainable aviation fuel lands in Sydney

Qantas, Sydney Airport and Ampol, supported by Qantas’ SAF Coalition partners, marked the largest ever commercial importation of Sustainable Aviation Fuel into Australia, with nearly two million litres of unblended SAF arriving this week. Sustainable Aviation Fuel has the greatest near-term potential to help decarbonise the aviation industry. The fuel was imported by Ampol from Malaysia to its Kurnell facility on Wednesday 7 May and is currently being blended with conventional aviation fuel before testing and certification so that it can be distributed into the Sydney airport supply chain. It will then be used on flights departing from Sydney Airport over the coming weeks.

Once blended at a ratio of approximately 18%, the fuel could power the equivalent of 900 flights from Sydney to Auckland on Qantas and Jetstar’s 737 aircraft, reducing the resulting carbon emissions from those flights by a total estimated 3,400 tonnes. This is roughly equivalent to the annual emissions generated by 800 cars. This import demonstrates the capability of Ampol and Sydney Airport’s existing infrastructure to handle SAF, as well as the growing momentum behind establishing the production of SAF and a viable industry in Australia, backed by the national carrier.

Qantas established the SAF Coalition in 2023 which consists of 15 leading Australian and global companies, all supporting the use of SAF at scale to help reduce their air travel and freight emissions, further demonstrating the demand for SAF that exists across industries. Air travel and freight can make up a significant part of the Coalition partners’ emissions.

If established, domestic SAF production has the potential to contribute approximately A$13B in GDP annually by 2040, while supporting nearly 13,000 jobs in the feedstock supply chain and creating 5,000 new jobs to construct and run the facilities.

The Hon. Catherine King MP, Federal Minister for Infrastructure, Transport, Regional Development and Local Government said: “More than anywhere in the world, Australia has the opportunity to create new jobs, new industries and new skills through developing a domestic sustainable fuel industry – and our government is committed to providing the support to get there. Today’s announcement is a positive step in the right direction; a vote of confidence in the sector and a signal that demand is there. We made progress in our first term of government to develop a low carbon liquid fuel industry on our shores, and we look forward to building on that work as we build Australia’s future.”

The Hon. Penny Sharpe MLC, NSW Minister for Climate Change, Energy, the Environment and Heritage, stated: “I applaud this action to reduce emissions from the aviation industry to lay the groundwork for the net zero future of the sector. We want to see a strong domestic SAF industry here in NSW, which is a win-win for jobs, fuel security and the planet.”

Scott Charlton, Sydney Airport CEO, commented: “Sydney Airport accounts for nearly 40 percent of Australia’s total aviation fuel uplift, so we have a big opportunity to be a leader in the development of a domestic SAF industry. NSW is uniquely placed to develop this industry, as a major producer of important feedstocks like canola. Most of Australia’s canola harvest currently goes offshore to be turned into biofuels by other nations. With the right policy settings at a state and federal level, and governments working in partnership with industry, NSW can become a global leader on SAF – creating local jobs, supporting local industry, and fuelling more sustainable flights in the future.” 

Vanessa Hudson, Qantas Group CEO, stated: “The creation of a domestic sustainable aviation fuel industry is key to our efforts towards the decarbonisation of aviation, increasing Australia’s fuel security and creating thousands of new jobs across our economy. Today’s announcement is a proud moment for Qantas and demonstrates the demand that exists for more sustainable travel. As the national carrier, we have a role to play in reducing the impact of air travel on the environment, but we can’t do it alone. We pick up 70% of our fuel in Australia so we’re looking forward to working closely with the government to chart the next course for SAF in Australia. The alignment of industry and government will be critical to establishing and scaling an industry here.”

Matthew Halliday, Ampol Managing Director and CEO, said: “This delivery marks Ampol’s first major import of Sustainable Aviation Fuel into Australia and leverages our advanced supply chain infrastructure to deliver this product directly from a key domestic fuel terminal to the nation’s busiest airport. This milestone highlights the critical role of collaboration in developing the SAF industry in Australia and demonstrates how industry can work hand-in-hand. This initiative is yet another step towards realising our ambition of establishing domestic renewable fuels capability at our Lytton Refinery in Brisbane.”

Mark Davies, General Manager Premium Services and International, Australia Post, said: “The SAF Coalition was established to enable large entities like Australia Post to take real and tangible action toward reducing our Scope 3 emissions, acknowledging we have a role to play in supporting the decarbonisation of transport industries. As Qantas’ largest domestic freight partner, we recognise the importance of driving progress across our sector. The SAF Coalition is key to advancing local sustainable aviation through cross-industry collaboration and, as a collective, we are taking meaningful action to reduce our emissions and drive the transition to a low-carbon future.”

In line with its Net Zero by 2050 ambition, Qantas is targeting 10% of its fuel use to come from Sustainable Aviation Fuel by 2030 and approximately 60% by 2050. Qantas currently uplifts SAF from London Heathrow and is exploring opportunities at other international locations. Through its A$400m climate fund, Qantas is also backing several other SAF-focused initiatives, including planned biofuel facilities in Queensland and New Zealand, and a recently announced investment in a climate-focused VC fund. Sydney Airport has an ambition for 50 percent of the fuel uplift at the airport by 2050 to be SAF.

Sydney Airport and Qantas extend cooperation through MoU

The importation follows the signing of a MoU between Qantas and Sydney Airport to work together to further facilitate the development of a domestic SAF industry in Australia. The MoU and import deal demonstrate the industry’s commitment to SAF across the supply chain – from airlines and airports to corporate customers – which can be practically used today with existing infrastructure to help reduce the emissions of Australian aviation.