-- Europe should resist watering down its Emissions Trading Scheme and other initiatives to decarbonize aviation despite rising fuel costs as it would embed fossil fuels in the industry for longer, think tank Transport & Environment said on Tuesday.
The researcher said that some industry players are lobbying against the Emissions Trading System and ReFuelEU initiatives in the wake of the Iran war to reduce costs they face from rising fuel prices.
Transport & Environment argues that the schemes, however, are "essential blueprints" for achieving energy independence and security. "Weakening this legislation now would only deepen the sector's exposure to global oil shocks," it says.
The EU imports about 95% of its crude oil and uses a combination of locally refined jet fuel and imported jet fuel, obtaining most of the latter from the Middle East.
About 30% of all of the EU's jet fuel supply whether refined or in crude form, transits the now-closed Strait of Hormuz, the think-tank said.
Airlines have been burdened by rerouting of flights to avoid insecure airspace and fuel shortages have led to a significant number of flight cancellations and higher fuel costs. SAF or sustainable aviation fuel prices are also surging, it noted.
Transport & Environment says reducing flight volumes can significantly reduce the industry's "massive" contribution to global oil demand in the short term and it says SAF is "the strategic choice" for long-term energy security.
Instead of watering down SAF mandates, Transport & Environment says these requirements should be reinforced to ensure Europe's energy independence in the longer term.