-- Preparing for a Lower Carbon Future, Airline
Partners with SG Preston to Purchase Renewable Jet Fuel --
-- JetBlue Expects To Take First Delivery of
Renewable Jet Fuel In 2019 With A 10-Year Purchase Agreement and
the Ability to Lower the Fuel’s Carbon Footprint through the Use of
Renewable, Biomass Based Feedstocks --
JetBlue (Nasdaq: JBLU) today announced a ten-year renewable jet
fuel purchase agreement with SG Preston, a bioenergy company. The
airline is partnering with SG Preston to purchase renewable jet
fuel made from rapidly renewable, bio-based feedstocks that do not
compete with food production. This marks one of the largest
renewable jet fuel purchase agreements in aviation history, and the
largest, long-term, binding commitment by any airline globally for
HEFA (hydro-processed esters and fatty acids) based renewable jet
fuel.
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For nearly 100 years, planes have run on fossil fuels.
Investments in renewable energy sources are key to a lower carbon
future. Renewable jet fuel is produced from biological resources,
like plant matter, which can be replenished rapidly and without
impacting food supply. With SG Preston, JetBlue is creating
renewable jet fuel that has the ability to benefit the airline’s
bottom line while also lowering its net CO2 emissions.
Compared to traditional petroleum-based Jet-A fuel, renewable
options can significantly reduce emissions, including pollutants
related to air quality as well as net greenhouse gases. Renewable
jet fuel is chemically equivalent to conventional Jet-A fuel, and
poses no discernable difference in performance or safety.
“The future of aviation relies in part on renewable energy
sources. We’re taking a leadership role in technology and other
advancements including renewable jet fuels,” said Robin Hayes,
president and chief executive officer, JetBlue. “JetBlue is
preparing for a world where we must reduce our production of
greenhouse gases. With this in mind, we have executed one of the
largest renewable jet fuel purchase agreements. This is just one
step of many in our work towards a lower carbon future.”
JetBlue is taking a long-term approach, evaluating various
technologies, materials and feedstocks. To launch the strategic
relationship with SG Preston, JetBlue plans to purchase more than
33 million gallons of blended jet fuel per year for at least 10
years. The fuel will consist of 30 percent renewable jet fuel
blended with 70 percent traditional Jet-A fuel. The renewable jet
fuel portion produced from select plant oils is targeted to achieve
a 50% or higher reduction in greenhouse gases emissions per gallon
based on a life-cycle analysis. The fuel is expected to meet the
Environmental Protection Agency’s (EPA) qualification for renewable
fuel standards, as well as the Roundtable on Sustainable
Biomaterials certification standard for sustainable production of
biofuels.
JetBlue is currently progressing forward and working through the
process with the intent of supplying New York-metropolitan area
airports with renewable jet fuel. In its blended form, the total
amount of renewable jet fuel JetBlue will purchase equals
approximately 20 percent of its annual fuel consumption at New York
John F. Kennedy International Airport (JFK).
“This strategic relationship with JetBlue is a continuation of
SG Preston’s commitment to develop reliable products from renewable
resources at commercial scale and volume for stakeholders who
recognize renewable has transcended buzzword status and is a
critical component of responsible growth,” said Randy Delbert
LeTang, SG Preston founder, chief executive officer and president.
“Our strategy is to address the demand versus supply gaps in the
industry and align development and delivery mechanisms to meet our
customers’ demand in the least disruptive way.”
With an aviation industry-wide goal to cap net greenhouse gas
growth from 2020 onward, renewable jet fuel is a key aspect of
JetBlue’s emissions reduction strategy. The Federal Aviation
Administration (FAA) has approved renewable jet fuel safe for use.
JetBlue business partners have tested the type of renewable jet
fuel associated with this deal and qualified it for use in 2011 via
industry evaluations that took place as part of the alternative
fuels approval process of ASTM International, the standard-setting
body for fuels used by the aviation enterprise. To date, more than
2,200 commercial, revenue flights by 22 airlines have flown on
different types of renewable jet fuel, with many of those flights
being flown with the HEFA-SPK type fuel to be produced by SG
Preston.
“This is a first of many steps towards a slowly evolving change.
With our partner, SG Preston, we are pursuing renewable jet fuel
production from feedstock systems with the ability to lower CO2
emissions by 50 percent or more per gallon before blending. This is
a proactive step to address customer demand and protect our
business and the future of our industry,” said Hayes.
In 2016, JetBlue began actively exploring the ability to
purchase renewable jet fuel for commercial use. In 2015, JetBlue
was the only airline to sign the White House’s American Business
Act on Climate Pledge, highlighting its support for an
international climate agreement toward a low-carbon future. JetBlue
pledged to reduce global emissions from commercial air travel in
partnership with aircraft and engine manufacturers, the FAA, and
others.
To learn more about renewable jet fuel click here:
https://vimeo.com/183334043
JetBlue’s Focus on the Environment
JetBlue believes in communicating transparently about climate
change. The airline is committed to taking steps to address the
emission of greenhouse gases (GHGs) from its flights and JetBlue
empowers and inspires its customers and crewmembers to offset GHG
emissions when they fly. The airline is constantly looking for ways
to become more fuel efficient and embrace more efficient
technologies. For example, JetBlue planes feature Airbus'
Sharklets, which improve aerodynamics and cut fuel burn and
emissions. For more on JetBlue’s work to reduce emissions, visit
jetblue.com/green.
About JetBlue
JetBlue is New York's Hometown Airline® and a leading carrier in
Boston, Fort Lauderdale/Hollywood, Los Angeles (Long Beach),
Orlando and San Juan. JetBlue carries more than 32 million
customers a year to 97 cities in the U.S., Caribbean, and Latin
America with an average of 925 daily flights. For more information,
please visit JetBlue.com.
About S.G. Preston
SG Preston is a bioenergy leader unlocking the potential of
renewable biomass through an intelligent and integrated logistics
and product development system.
SG Preston knows what it takes to make renewable energy a
reality at commercial scale, and how to make it work long-term. We
impart a spirit of partnership in every project — taking into
careful consideration the needs of all stakeholders — to develop
bioenergy solutions as integrative as they are innovative.
SG Preston has a strategic goal to develop 1.2 billion gallons
of renewable biofuels to help major stakeholders in the
transportation and related industries meet their strategic goals.
For more information, please visit SGPreston.com.
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