S&P Global Platts has announced the launch of a Sustainable Aviation Fuel (SAF) price assessment in Europe to bring additional transparency as the industry embraces energy transition, the company said.
The new daily S&P Global Platts Sustainable Aviation Fuel cost-based price assessment will be published from August 17, 2020, and reflects the cost of SAF produced from used cooking oil on an ex-refinery basis in Northwest Europe. The daily price assessments, published in dollars per metric ton, reflect the production cost of SAFs for blending into jet fuel.
Decarbonization incentives include tighter EU emissions reductions targets (with intra-EU flight covered under the EU ETS) and the International Civil Aviation Organization´s (ICAO´s) market-based Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA) program.
The new Platts SAF assessments follow extensive consultation with producers, consumers, traders and others in the European oil and biofuel markets as the demand for sustainable aviation fuel grows in consumption and supply.
The Platts SAF assessment assumptions have been calculated by S&P Global Platts Analytics based on existing Platts assessments and other fixed costs.
S&P Global Platts is an independent provider of information and benchmark prices for the commodities and energy markets. S&P Global Platts is a division of S&P Global (NYSE: SPGI).