With the potential to meet local and export demand, the Philippines is positioning itself as a sustainable aviation fuel hub. Photo Credit: Adobe Stock/Tajwar
The Philippines has marked a significant milestone in joining the world community toward a greener planet.
It is now laying the groundwork in leading the production and usage of sustainable aviation fuel (SAF) with its agricultural waste feedstock, which is expected to meet the country's jet fuel demand and capacity to export.
During the recent Sustainable Aviation Fuel (SAF) Forum, the Philippine Department of Transportation (DOTr) partnered with major global aerospace company, Boeing to drive SAF adoption through collaboration with aviation stakeholders.
According to the DOTr, the country has sufficient agricultural waste feedstock to meet all national jet fuel consumption needs with even potential for exports.
“The success of the SAF Forum underscores our commitment to a sustainable aviation sector,” DOTr officials said. “By fostering innovation and partnerships, we are paving the way for the Philippines to become a leader in SAF production and usage.”
Beyond environmental benefits, the SAF initiative is expected to generate jobs, strengthen the local supply chain, and build expertise in sustainable fuel production.
The forum pushed to fast-track aviation’s carbon footprint reduction through SAF, which is a key lever to decarbonising aviation. SAF has the potential to lower emissions by up to 80% compared with conventional jet fuel, according to industry experts.
SAF adoption in ASEAN
Southeast Asia’s feedstocks can supply approximately 12% of global SAF demand to meet the commercial aviation industry’s net-zero goal by 2050, according to a report by Roundtable on Sustainable Biomaterials (RSB) and supported by Boeing.
The study showed that the Philippines and its ASEAN neighbours Indonesia, Thailand, Vietnam, Malaysia’s total feedstock availability accounts for about 90% of the region’s SAF supply capacity.
Meanwhile, the Association of Asia-Pacific Airlines (AAPA) targets using 5% SAF blend by 2030.
Launched at the forum was the Island Skies Alliance (ISA), an international grouping focused on the Philippines, with an aim to build its SAF ecosystem by developing local production from local raw materials to supply Philippine carriers. Its members include the Air Carriers Association of the Philippines (ACAP) of which Philippine Airlines, Cebu Pacific and AirAsia are members.
ISA has set the goal of 1% blend by 2030 for Philippine operations.
However, scaling up SAF production comes with challenges. Aviation expert and SAF investor Tina DiCicco cautioned that higher ticket prices are inevitable.
“Singapore, for instance, is the first country to impose a sustainable fuel levy beginning 2026. This can add between $1 to $16 to a flight ticket,” she said.
Singapore also plans to mandate the use of SAF on all departing flights from 2026, starting with a 1% SAF target. It hopes to increase this target to 3-5% by 2030.