Role of sustainable energy in decarbonising transport

Transport is one of the most significant contributors to greenhouse gas emissions, accounting for 37% of all emissions from the Travel & Tourism sector. While electrification is making strides in land transport, for long-distance air and maritime travel, it’s not a viable solution. The answer lies in scaling up sustainable fuels, which is a pragmatic and immediate option to slash emissions without overhauling existing fleets.

The case for sustainable fuel

Unlike electric alternatives, sustainable fuels are ‘drop-in’ solutions. They work with current engines and infrastructure, requiring no radical shifts in technology. This is crucial for aviation and maritime sectors, where batteries are either too heavy (for planes) or too inefficient (for ships) to power long-distance travel.

Sustainable fuels, derived from feedstocks such as waste oil, fats, and even municipal waste, offer a dramatic reduction in lifecycle emissions. Yet, they remain in painfully short supply. In 2024, Sustainable Aviation Fuel (SAF) made up only 0.3% of global jet fuel consumption, a stark reminder that we’re not moving fast enough.

Why it matters

The climate imperative is clear, but there’s also a strong business case. As governments mandate SAF usage, with targets ranging from 5% to 10% by 2030, scarce supply is keeping prices high. SAF currently costs between three to 10 times more than conventional jet fuel. If supply doesn’t catch up, travel costs will soar, threatening accessibility and profitability across the industry.

Travellers are increasingly conscious of their environmental impact. A visible commitment to sustainable travel is marketable. Operators who engage with sustainable fuel now will be ahead of the curve, meeting both regulatory and consumer expectations. Despite momentum, several barriers remain:

• Supply chain bottlenecks: Scaling production to meet future demand (450 billion litres by 2050) would require thousands of new renewable fuel plants.

• High costs: Sustainable fuels haven't yet achieved economies of scale, keeping prices high.

• Feedstock competition: Inputs like used cooking oil are also in demand for other industries, tightening availability.

• Regulatory fragmentation: Inconsistent international policies complicate compliance for global operators.

What needs to happen

This isn’t a challenge the aviation and maritime sectors can solve alone. The whole Travel & Tourism ecosystem must engage, and the recent “Sustainable Fuel Engagement Framework” from the World Travel & Tourism Council (WTTC) offers a blueprint. Travel & Tourism businesses can participate as:

• Collaborators: Partnering with fuel producers and transport operators, and contributing waste (e.g., used cooking oil) for fuel production.

• Promoters: Driving awareness campaigns and internal education through sustainable fuel ambassadors.

• Adopters: Buying and selling sustainable fuel certificates to offset emissions from staff and client travel.

• Investors: Supporting fuel R&D or infrastructure directly, including taking equity stakes in production plants.

Jet2, a UK-based travel company, recently invested in a SAF production plant expected to produce 200 million litres of fuel over 15 years. Similarly, the Erawan Group in Asia launched a “Fry to Fly” scheme to supply used cooking oil from its hotels for SAF production. These initiatives are reshaping how businesses can influence their carbon footprint at the source.

Travel & Tourism associations are vital in pushing for aligned, supportive policies. Whether lobbying for cross-ministry collaboration, financial incentives, or harmonised international mandates, their role is to make sustainable fuel not just an option, but the standard.

The time to act is now. With transport emissions constituting over a third of the sector’s carbon footprint, sustainable fuel isn’t a niche concern—it’s the front line of decarbonisation. The technology exists, the demand is rising, and the pressure is on. If the sector aligns its voice, resources, and influence, we can build a cleaner, more resilient travel future. Rudolf Diesel once imagined a world fuelled by renewable energy. More than a century later, that vision is within reach. If we choose to pursue it together

‍