Blog · 23 October Schiphol’s new SAF fund encourages the use of more sustainable aviation fuel
Aviation faces a big challenge: how to keep the Netherlands connected to the rest of the world while also further reducing air travel’s environmental impact. Sustainable Aviation Fuel (SAF) is one of the best solutions for reducing aviation's carbon emissions in the short term.
Schiphol and the Ministry of Infrastructure and Water Management are therefore working to set up a new SAF fund. Together, Schiphol and the ministry want to make up EUR 90 million available for the promotion of increased use of SAF in 2027–2029. The ministry's contributions are subject to approval by the European Commission.
What exactly is SAF?
A major source of aviation emissions is the combustion of kerosene, a fossil fuel refined from crude oil. Sustainable Aviation Fuel (SAF) is a more sustainable alternative produced from renewable resources and waste streams such as used cooking oil. Over the entire life cycle, SAF can reduce carbon emissions by up to approximately 80% compared to fossil kerosene.
Why is Schiphol focusing on SAF?
SAF is one of the most promising means of reducing aviation emissions currently. This fuel can be used in existing aircraft and infrastructure immediately without any modifications.
SAF is also much more expensive than conventional jet fuel. Adoption has therefore been slower than what is needed to achieve the sector's climate goals.
Schiphol and the ministry hope to increase airlines’ use of SAF beyond the requirements under the European blending mandate. The new fund can provide compensation for part of the price difference with fossil kerosene for any additional SAF used.
Building a stronger market for more sustainable fuel
The fund contributes to reducing aviation's carbon emissions and fits in with Schiphol's strategy of making aviation more sustainable and in harmony with the local community. It also supports the Outline Agreement objective of reducing carbon emissions at Schiphol and Lelystad Airport to 2024 levels by 2030. Increased demand for SAF would enable production to be scaled up. This is important for reducing aviation emissions and improving energy security. Recent fluctuations in fuel prices and geopolitical tensions have underscored the vulnerability associated with dependence on fossil fuels and international supply routes.
Building on prior experience
Schiphol already gained experience with a previous SAF incentive between 2022 and 2024. The scheme supported the use of more sustainable aviation fuel by airlines and helped the sector to prepare for European blending mandates.
The new fund builds on this experience. The exact terms will be worked out in more detail in the coming period, including the compensation, application procedures and practical implementation.
Sustainability improvements depend on collaboration
Schiphol has been connecting the Netherlands to the rest of the world for over 110 years. We want to continue enabling those connections in the future. At the same time, we see a need for aviation to become more sustainable to reduce its impact on the climate and our local community.
This is not a challenge we can solve alone. Airlines, airports, producers of sustainable fuel, governments and passengers all have roles to play in this transition. Progress will require innovation, investment and collaboration throughout the chain.
SAF is an important step in that regard and one that can be taken right now. However, this solution does not stand alone. To further reduce aviation emissions, fleet modernisation, flying more efficiently and new technologies such as electric and hydrogen propulsion must be implemented as well.
With the proposed investment, Schiphol is taking responsibility for accelerating sustainability improvements in aviation in line with our long-term goal of ensuring happy passengers, airlines and staff in harmony with the local community. Together with our partners, we are working to continue making connections through a new generation of cleaner, smarter and more future-proof aviation.