The ATAG Member Briefing

July 2026 newsletter

Energy transition

Supporting aviation’s energy transition away from fossil fuels is one of ATAG’s key priorities. The recent crisis leading to constraints in the Strait of Hormuz, through which around 20% of global oil flows, is the latest reminder of the vulnerabilities of our energy supply.

Efforts have focused so far on sustainable aviation fuel (SAF), which as well as being an important lever for aviation’s decarbonisation, will also be strategic in rebalancing and strengthening the global energy system. Put simply, the scale-up in supply of SAF provides the potential to:

  • Diversify energy supply geographically, from 22 countries producing most of the fossil fuel to probably 150 countries with the possibility to produce SAF at some stage.
  • Enable the diversification of energy inputs. Instead of relying on a single primary resource, it can be produced from a range of feedstocks, including waste and residues, non-food crops, hydrogen and direct air capture.
  • Help balance energy costs, by spreading the pricing across a range of variables.
  • Support the wider energy transition by providing new jobs in more countries around the world.

ATAG has established an Energy transition working group to lead efforts in supporting the scale up of SAF production capacity. It is currently drafting a SAF policy report for internal industry use, which we hope to make available later in the year. It is also developing some draft industry messaging on the importance of SAF in the longer-term energy security strategy and is working on a SAF financing paper for the 7th ICAO Air Transport Conference in November. In addition the group will begin focusing on the scale-up of hydrogen and its allocation to aviation.

Please find below some links to recent ATAG blog posts that address aviation’s energy transition.

Please also see the separate article on the First Conference on Transitioning Away from Fossil Fuels.

This newsletter article is exclusively for ATAG members