Breakout session: Scaling up emerging sustainable fuel pathways

Sustainable liquid fuels include advanced biofuels and synthetic hydrogen-based liquids made using a sustainable source of carbon, such as CO2 captured from the atmosphere. A diverse set of promising technologies have reached the pilot and demonstration phase, with some notable improvements on decades-old synthetic fuel processes. Some others, included lignocellulosic biofuels and alcohol-to-jet fuel are reaching the market in certain geographies. As a potential sustainable shipping fuel, ammonia and methanol are being tested at scale and order books for large engines designed for these fuels are filling up.

There is significant latent demand for these fuels from airlines and shipping companies if scale can be achieved and costs reduced. However, innovators trying to bring these fuels to market often face significant challenges to fund and operate first-of-a-kind commercial projects that could help reduce costs in the medium-term. In addition, some of the cheapest places to produce these fuels are not the same as the places most willing to pay for them.

Technology innovation and international cooperation is at the heart of these efforts. Even among proven processes, there is significant scope to reduce costs as the market scales up. Whether sustainable liquid fuels become widely deployed in line with government targets depends largely on whether an integrated market can be established across borders, with recognised standards and continuous effort to overcome arising challenges.