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The oneworld® airline alliance (including several of its member airlines) has announced a partnership with Breakthrough Energy Ventures (BEV) to launch a new investment fund aimed at tackling one of the most pressing challenges in the aviation industry: the limited availability and high cost of Sustainable Aviation Fuels (SAF).
The oneworld® BEV Fund will be led by investments from American Airlines and Alaska Airlines. It’s designed to accelerate the global development of next-generation SAF technologies that are cost-effective, scalable, and significantly lower in emissions compared to conventional jet fuels.
The newly launched fund has a clear mission to transform the aviation sector’s fuel supply chain. It will focus on five key priorities:
- Investing in breakthrough SAF technologies with the potential to revolutionize the industry.
- Scaling alternative fuel markets to meet the long-term needs of the global aviation network.
- Creating economic value for investors and local economies worldwide.
- Promoting technology innovation to drive rapid advancements in climate solutions.
- Building a diverse and resilient SAF supply chain to ensure availability for future aviation demand.
Breakthrough Energy Ventures, founded by Bill Gates, will serve as the fund’s investment manager, leveraging its technical expertise and proven track record of supporting early-stage climate technology companies. By combining BEV’s rigorous diligence model with the scale of the aviation industry, the fund aims to catalyze sustainable transformation in one of the hardest-to-decarbonize sectors.
The oneworld® BEV Fund is supported not only by American Airlines and Alaska Airlines, but also by International Airlines Group (IAG), Cathay Pacific, Japan Airlines, and non-oneworld® member, Singapore Airlines.
The global aviation industry is a major driver of economic activity, generating $4.1 trillion annually and supporting 86.5 million jobs worldwide. However, it also contributes approximately 2% to 3% of global carbon dioxide emissions (alongside other environmental impacts). Air travel demand is expected to increase significantly in the coming decades, raising pressure on the industry to reduce its carbon footprint.
Robert Isom, American Airlines CEO and chairman of oneworld®, said:
By investing in the SAF technologies of the future, American and our oneworld® partners are making a business decision to accelerate the development of novel technologies with the potential to reach larger scale at lower prices than current technologies can achieve. We believe reducing the emissions from our operation meets the demands of our customers, will make our business more competitive, and will enable us to continue to deliver the enormous economic benefits of commercial aviation for generations to come.”
Ben Minicucci, CEO of Alaska Air Group, added:
Alaska Airlines is excited to work alongside oneworld® carriers to invest in innovative and cost-competitive SAF technology to drive the long-term energy transformation for our industry. In Breakthrough Energy Ventures, we have a partner with the scientific, technical and commercial expertise to make effective investment decisions that will create the market for next-generation fuels and power our industry in the years ahead.”
Anthony’s Take: Regardless of your views on the environment (somehow that has become political), sustainable airline fuel makes good business sense. It’s great to see this fund and the push forward.
(Featured Image Credit: Alaska Airlines.)
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Advertiser & Editorial Disclosure: The Bulkhead Seat earns an affiliate commission for anyone approved through the links above This compensation may impact how and where links appear on this site. We work to provide the best publicly available offers to our readers. We frequently update them, but this site does not include all available offers. Opinions, reviews, analyses & recommendations are the author’s alone, and have not been reviewed, endorsed, or approved by any of these entities.
