In an era of escalating climate concerns and energy challenges, sustainable aviation fuel (SAF) is emerging as a critical component in the decarbonisation of the global aviation sector.
AVIATION INVESTMENT
In an era of escalating climate concerns and energy challenges, sustainable aviation fuel (SAF) is emerging as a critical component in the decarbonisation of the global aviation sector.
Traditional fossil fuels have powered our aircraft for over a century but come at a steep environmental cost. With aviation emissions coming under increasing scrutiny, international mandates -- particularly in the European Union, the United Kingdom, and the US -- are setting ambitious targets for SAF use. It is a transformative solution for the aviation sector, derived from renewable resources such as used cooking oil, agricultural residues, forestry by-products and even municipal solid waste. For Pakistan, an economy blessed with abundant agricultural resources, this global shift presents a unique opportunity to transform its aviation and energy sectors alike.
The production of SAF involves a two-step process. First, the feedstock is converted into an intermediate product, which is subsequently refined in the second step to produce the final SAF. The choice of production technology depends on the type of renewable feedstock, which can be classified into four main categories: lipid-based feedstocks (such as used cooking oil, animal fats, and non-edible vegetable oils), sugar-based feedstocks (such as wheat straw, rice husks and bagasse), lignin-rich feedstocks (e.g., forestry residues), and carbon dioxide (CO2).
Although a range of technologies exist for processing these feedstocks, only Hydroprocessed Esters and Fatty Acids (HEFA), which converts waste oils, fats and greases into SAF via hydroprocessing, and Alcohol-to-Jet (ATJ), which processes sugar-based alcohols such as ethanol or butanol through dehydration and oligomerisation, have been commercialised to date.
Emerging technologies like Hydroprocessed Catalytic Fast Pyrolysis Oil (HCFPO) and Catalytic Hydrothermolysis Jet (CHJ) are particularly suitable for lignin-rich feedstocks. HCFPO employs catalytic fast pyrolysis (thermal decomposition) to produce bio-oils, which are then hydroprocessed into SAF.
CHJ, on the other hand, utilises hydrothermal liquefaction (thermochemical process) to convert feedstocks into biocrude, followed by hydroprocessing to refine it into SAF. This process mimics the natural formation of crude oil by applying heat and pressure to biomass.
CO2 represents one of the most radical and promising feedstocks in the quest for SAF. Industry leaders are exploring innovative techniques that convert CO2, captured directly from the atmosphere or concentrated point sources, into energy-dense SAF. This breakthrough approach offers a pathway to mitigate atmospheric CO2 levels and paves the way for a circular carbon economy in which waste emissions are transformed into valuable resources.
The conversion of CO2 into SAF is achieved through three primary pathways: biological, chemical, and electrical. The biological pathway utilises genetically engineered microorganisms to convert CO2 into intermediary products, such as oils or alcohols. The chemical pathway employs advanced catalytic systems to synthesise hydrocarbons from CO2 directly. Meanwhile, the electrical pathway leverages renewable energy to drive electrochemical reactors, reducing CO2 into intermediates that can subsequently be refined into SAF. Europe is pioneering advancements in electrochemical conversion, while Australia is at the forefront of biological innovation in this field.
Technological advancements now also enable the co-production of diesel alongside SAF. This innovation creates new opportunities for sustainable fuel solutions, accelerating the transition to cleaner energy.
The investment required for an SAF biorefinery yields considerable economic dividends despite its multibillion-dollar price tag at larger scales. Direct job creation triggers a ripple effect, driving indirect employment, supply-chain stimulation and cross-sectoral economic activities
SAF technologies enable scalable production, with capacities ranging from 100,000 tonnes to as much as one million tonnes annually. While large-scale refineries demand multibillion-dollar investments, their economic influence reaches far beyond their price tags. These facilities have the potential to generate thousands of direct and indirect jobs, serving as catalysts for regional development.
The construction phase of a SAF biorefinery involves extensive capital expenditure, spurring local contractors, suppliers, and related service providers. This financial injection stimulates regional development, strengthens infrastructure, and supports ancillary industries. Beyond the significant workforce required during development, once operational, the refinery will generate a few hundred direct jobs spanning plant operations, quality assurance, engineering, maintenance and administrative roles, alongside a range of support positions such as security personnel and drivers.
This scale of direct job creation triggers a ripple effect, driving indirect employment across multiple industries. For instance, ancillary industries such as feedstock production, transportation and logistics, equipment manufacturing, construction, and maintenance services are likely to benefit substantially. Based on analyses of similar renewable energy projects worldwide, it is reasonable to anticipate that an additional four to six indirect positions would emerge for every direct job generated. This would translate into thousands of indirect jobs associated with the SAF biorefinery project on a regional scale.
The economic impact extends further into several related industries. The agricultural sector, in particular, stands to gain as local farmers supply biomass feedstocks -- such as sugarcane bagasse, rice husks or other crop residues -- creating a steady demand stabilising rural incomes and encouraging sustainable agricultural practices.
On a national level, establishing a SAF biorefinery in Pakistan would contribute significantly to energy security by reducing reliance on imported fossil fuels. Developing a home-grown SAF industry would also position Pakistan as one of the players in the global transition to renewable energies. As international markets increasingly favour sustainable and low-emission fuels, Pakistan could benefit from enhanced export opportunities.
The technological advancements and demonstration projects associated with SAF production could also spur innovation across Pakistan’s energy sector, further diversifying the country’s economic base. Additionally, this progress would influence research and development, foster innovation, and strengthen environmental services, transforming universities into leading hubs for sustainable fuel research.
The starting point in the transition to SAF requires a dynamic, multipronged approach that integrates investment, industrial development, and innovation. A well-defined strategy must prioritise attracting foreign investment, equipping local industries with the necessary infrastructure and expertise, and fostering a robust research and development ecosystem.
The investment required for an SAF biorefinery yields considerable economic dividends despite its multibillion-dollar price tag at larger scales. Direct job creation triggers a ripple effect, driving indirect employment, supply-chain stimulation and cross-sectoral economic activities, potentially multiplying these benefits severalfold. Ultimately, such investments are a vital pillar of regional and national growth. By transforming waste and renewable feedstocks into high-value SAF, Pakistan can simultaneously address environmental imperatives while laying the foundation for a more resilient and diversified economy.
The writer is a pioneer in CO2-based renewable materials and fuels, and is known for innovations like Lignik and the Orycycle model. He’s also a published novelist, with 'Nureeva and Tangora' as his latest work.
