Sustainability in Aviation

The aviation sector has long been a vital component of globalisation and modern connectivity. Progress in the skies can come at a cost though, and, like many others, the aviation sector is now at a crossroads of reconciling its growth trajectory with environmental responsibilities. Aviation is responsible for a significant portion of global carbon emissions, with climate change from burning jet fuel of particular concern. According to the International Air Transport Association (IATA), aviation accounted for around 2-3% of global carbon dioxide (CO2) emissions in 2019.

Whilst road, rail and even more traditional off-highway markets have made significant strides in hybrid, electric, and, latterly, hydrogen technologies though, the aviation sector has typically lagged behind other transport counterparts. This is, in part, due to complexities of integrating new technology and sustainable fuels into existing infrastructure, further complicated by the sector’s unique energy requirements and weight constraints. The adoption of new technologies and practices also demands high upfront costs, which can deter more rapid industry-wide implementation in a sector where profit margins have already been hit hard by several years of travel constraints.

With demand for air travel continuing to rise though, there remains pressure on airlines to expand their fleets and operations. Balancing this growth demand with desired environmental impact reduction requires innovative approaches and commitment to substantial investments.

Current Sustainability Initiatives
Sustainable Aviation Fuels (SAFs), or fuels derived from renewable feedstocks – like algae, crop residues, and waste oils – are already considered game-changers in the aviation industry. The UK boasts a world-leading commitment in this area, with the UK Government providing subsidies and policy support: committing last year to introduction of an SAF mandate for 2025, requiring at least 10% of jet fuel (c. 1.2 million tons) to be made from sustainable feedstocks; and granting the Advanced Fuels Fund in 2022, with successful qualifying organisations receiving a share of £165m for the development of sustainable aviation fuel (SAF) production plants in the UK.

Despite the upfront costs, aircraft manufacturers are also investing heavily in R&D to hone more fuel-efficient and aerodynamic aircraft. Though some technologies, like hybrid-electric and hydrogen-powered planes, largely remain in their infancy, recent spikes in patent activity – particularly from Airbus and Boeing in the electric aircraft field – are a strong positive indicator of innovation progress. More promisingly in the shorter term too, air traffic logistics refinement and flight path optimisation can reduce aircraft congestion and resulting emissions.

Airlines are increasingly committing to carbon-neutral growth and net-zero emissions targets too. In 2021, Airbus, Boeing, and a host of other airlines and aviation entities co-signed the IATA’s AGM commitment to ‘Fly Net Zero’ (achieve net zero carbon emissions) by 2050. To this end, many civil airlines now offer options for passengers to offset carbon emissions through additional flight booking fees. On a larger scale, as well, the Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA), introduced by the International Civil Aviation Organisation (ICAO) in 2016, established a global market-based measure for aviation emissions, whereby airlines purchase carbon offsets to mitigate emissions up to 80% beyond 2020 levels.

The Future of Sustainability
Scaling up production of SAFs is essential to achieve significant emissions reductions in the short to medium term. The UK Government has made significant headway in advancing SAF production, but current output estimates are around 0.6m tons by 2030 – a shortfall of 0.6m tons for 2030’s target, which suggests further need for incentivisation. As recently as early September though, the UK’s Department for Transport announced introduction of a revenue certainty mechanism to give UK SAF producers greater reassurance in earnings support, and further boost production uptake. A large part of this continued investment will also go towards training, retraining and retention of workers with more eco-centric skillsets.

Despite its attempt to bring broader cross-sectoral accountability, CORSIA has come under heavy scrutiny since its inception for not being far-reaching enough, in emissions scope, low reduction thresholds, and current lack of enforceability, with emphasis on “self-determination” of what constitutes a credible carbon offset. The first voluntary pilot phase of CORSIA ends this year though, with its next phase running until 2026. By 2027 the scheme is intended to be mandatory, increasing global governmental pressure for more systematic net zero compliance.

Educating the public about air travel carbon footprints and promoting responsible consumer choices can also help foster more localised demand for sustainable aviation practices. The IATA has, for instance, a CO2 Calculator, which allows individuals to input flight details to work out their direct carbon impact. Consumer demand and collective public accountability form crucial components in sustainability progress, particularly as statistics suggest that as much as 80% of the global population have never flown.

Conclusion
Whilst the flight path to a greener future for aviation may be experiencing some turbulence, the industry has already covered significant ground in reducing its carbon impact and improving its sustainability profile. Leveraging technology like fuel innovations, committing to more eco-friendly R&D, and adopting sustainable best practices – in cabin or out – can go a long way to mitigating the impact of our continuing desire to traverse the skies.

Sector-wide evolution and ESG progress go hand in hand with having the right leadership and workforce in situ across airline companies and beyond. Partner Financial has worked extensively with some of the largest names in aviation to date, always with a mindset of improving the sector’s commitment to sustainability from a top-down culture perspective.

To speak with us about supporting your recruitment needs within aviation, or if you have any comments or questions on this topic, please contact us on 0203 178 4996.

January 23, 2024