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In this article, published by PFI and written in conjunction with etasca, Alan Alexander, Lauren Davies, Andrew Nealon and Louis Molloy discuss the challenges and potential solutions for scaling Power-to-X (P2X) technologies to meet global net-zero targets. P2X involves converting renewable energy into low-carbon products like hydrogen, e-methanol, and sustainable aviation fuel (SAF).

In a potentially significant development that may impact the economics of aviation, the California Air Resources Board (“CARB”) is proposing a policy, as we previewed in January 2024, to update the state’s Low Carbon Fuel Standard (“LCFS”) program, whereby CARB would eliminate the existing exemption for intrastate fossil jet fuel from LCFS regulations beginning in 2028.

As the aviation market moves towards a more sustainable future and fuel source, Brazil and other Latin American countries are likely to serve as key production locations for SAF due to their unique natural endowments and existing experience with bio-fuels.

As 2023 draws to a close we are taking a moment to recap on some of the headline events that have occurred in the aviation industry during the last 12 months.

Power-to-liquids technology can accelerate aviation’s decarbonization journey.