Sustainable aviation fuel, or SAF, is a type of jet fuel that is certified to the same standard as Jet A, which is used to fuel commercial aircraft today. It is a drop-in fuel, and its adoption and use is critical to the aviation industry, as outlined in the U.S. SAF Grand Challenge. Energy companies and agricultural feedstock and commodity producers are also vital to the SAF value chain. SAF is the ideal blend of Kentucky industries to power future flight.
The Kentucky SAF Coalition believes that SAF offers a unique opportunity for Kentucky as a new and growing industry. The Kentucky SAF Coalition is committed to moving Kentucky forward as the best place to grow SAF feedstocks, make and blend SAF near those feedstocks and points of use, and deploy SAF at scale for the benefit of the global aviation community and Kentucky businesses.
Aviation is a signature industry and economic driver for the Commonwealth of Kentucky. At Kentucky’s three largest commercial airports, employment exceeds 134,000—a figure that includes the significant and growing impacts of three global air cargo hubs: UPS Worldport, DHL’s Superhub for the Americas, and KCVG—Amazon Air’s largest U.S. hub. This activity results in an annual economic impact that exceeds $18.27 billion.
In addition, Kentucky is a powerhouse energy producer and one of the top agricultural states in the U.S. The organic feedstocks needed to make SAF and other biofuels are found right here in Kentucky. With such heavy aviation activity in Kentucky from end users of SAF, the Commonwealth is well-positioned geographically to leverage these strengths to scale up feedstock and SAF production.
Even with significant global demand and policy support from governments across the world, sustainable aviation fuel is estimated in 2024 to make up less than 1% of total worldwide jet fuel production. SAF is being demanded to be used by passenger airline and air cargo customers. In Kentucky, carriers consume hundreds of millions of gallons of jet fuel annually.
Not only is the end consumer market for SAF strong in Kentucky, the Commonwealth’s prowess in agriculture, as well as other pathways for SAF such as forestry byproduct and used cooking oils/greases, bodes well for new markets for commodities and existing businesses. Kentucky has an opportunity to seize the entire lifecycle opportunity to grow SAF feedstocks, make SAF via existing and future pathways, and use SAF at Kentucky’s commercial airports.
SAF is difficult to procure and remains expensive because of high demand and very limited supply. Kentucky’s aviation users are demanding SAF, and locally sourced and produced SAF is a shared goal. To keep up with Kentucky’s aviation sector growth, particularly in the air cargo space, the Kentucky SAF Coalition was formed in 2021 as an industry partnership to encourage the Commonwealth to explore and pursue the development of a SAF industry in the state.
The Coalition is actively working to advocate for Kentucky to develop a comprehensive package of market-based incentives to attract SAF usage and support increased feedstock production. The Coalition is also working to further study, define, and share Kentucky’s strengths and opportunities in this new industry.
