KPMG – Evolution of Alternative Fuels, 2024

The aviation industry is making strides in decarbonization, with the uptake of sustainable aviation fuel (SAF) expected to increase significantly by 2030. However, challenges remain in developing alternative aviation fuels that are cost-effective and environmentally friendly. The industry's growth is putting pressure on achieving net zero carbon emissions by 2050, requiring a combination of SAF use, carbon offsets, technology adoption, and efficiency improvements. Various commitments, initiatives, and alliances are driving the sector towards decarbonization, including the Fly Net Zero resolution, CORSIA, and the Clean Skies for Tomorrow Coalition. Airlines, aircraft manufacturers, and airports are individually committing to reaching net-zero emissions, with plans for sustainable aviation fuels and new technologies. European airports are also working towards eliminating their carbon footprint by 2050. By implementing these strategies and commitments, the aviation industry can navigate the complexities of transition, mitigate risks, and capitalize on emerging market opportunities.