SAF revenue certainty mechanism: approach to industry funding
Read the full outcome
Detail of outcome
The consultation asked for views on how the sustainable aviation fuel (SAF) revenue certainty mechanism could be funded. Â
In our response, the government confirms that:Â Â
- the SAF revenue certainty mechanism will be funded by industry to support the UK aviation industryÂ
- the variable levy on aviation fuel suppliers will be based on their market share of fossil-based aviation turbine fuelÂ
- those parties subject to an obligation under the SAF Mandate are liable to pay a levy to ensure reduced administrative burden Â
We have included a summary of responses from the 76 respondents across all areas, including fuel producers and the aviation sector. We have also published the SAF revenue certainty mechanism: cost-benefit analysis.
Original consultation
Consultation description
We are working with industry to design a sustainable aviation fuel (SAF) revenue certainty mechanism. The mechanism aims to reduce the risks of revenue uncertainty for emerging SAFÌý±è°ù´Ç»å³Ü³¦±ð°ù²õ.
We are asking for your views on:
- how the mechanism could be funded
- our proposal that the mechanism be funded by industry, preferably by introducing a levy on jet fuel suppliers
- the funding mechanism and design issues not addressed in our previous consultation on revenue certainty options