What Are the Policy Impacts on Renewable Jet Fuel in Sweden?

The aviation industry’s contribution to global human-induced CO2-emissions is expected to increase to 3% by 2050 as demand for aviation grows. An essential component for a carbon-neutral growth is low-carbon, sustainable aviation fuels, for example alternative drop-in fuels with biobased components.

This study aims at answering how combining different policies for the aviation sector can support the production of renewable jet fuel (RJF) in Sweden while reducing greenhouse gas emissions. The results demonstrate the importance of implementing policy instruments to promote the production of RJF in Sweden.

The current level of the penalty fee is not sufficient to support the fuel switch to RJF. A higher blending mandate and carbon price will accelerate the transition towards renewable and sustainable fuels for the aviation industry.