
Z Energy is supporting Air New Zealand and Ministry of Business, Innovation and Employment’s (MBIE) efforts to develop a local sustainable aviation fuel (SAF) industry.
Air New Zealand and MBIE recently signed a memorandum of understanding to run a request for proposal process inviting industry leaders to demonstrate the feasibility of operating a SAF plant at a commercial scale. Z Energy says it commends the step and intends to participate in the process.
Z Energy strategy and risk general manager Nicolas Williams says it’s an opportunity to move forward on a low carbon future.
“Z is committed to be part of the solution to climate change. We know that the way we’re using the planet’s resources simply isn’t sustainable and we must look for alternative solutions.
“We support and recognise the need for SAF to become the norm in New Zealand. It is part of Z’s roadmap for providing low-emission fuels that can help our customers decarbonise their operation,” Williams says.
“Z has consistently advocated for policy that would enable and incentivise the local production of SAF, both as a company as well as part of a consortium. We believe public and private sector collaboration will be vital to driving tangible outcomes in this space, as has been the case for successful SAF production in other countries.

“The use of SAF could reduce aircraft emissions by over 80% for every litre used, and it’s production in New Zealand would create jobs in our regions, benefit our regional and national economies, improve our security of supply and position New Zealand as a science and innovation hub.
“We are excited at the momentum we are now seeing on SAF, particularly with this feasibility study and look forward to responding to the RFP,” Williams says.
SAF is made from waste materials such as used cooking oils, landfill waste, or forestry and agricultural residues. Currently less than 1% of aviation fuel supplied in the world is SAF.
The MoU is part of Air New Zealand’s climate change goals as it aims for net zero emissions by 2050.
The company has also announced plans on the future local use of electric, hybrid, and hydrogen aircraft which could hit the sky as soon as 2035.
However, the airline expects these technologies to be restricted to short haul and domestic flying in the foreseeable future.
It sees SAF as the only current option for decarbonisation of the industry in long-haul air travel.
The aviation sector is a big contributor to New Zealand’s overall emissions with five million tonnes of carbon dioxide equivalent produced in 2018 from domestic and international aviation.
Z began working with industry partners in 2018, including Air New Zealand, to identify the near-term pathways over the next five to 10 years for the “viable and sustainable” commercialisation of aviation biofuels in New Zealand.
Last year, as part of a SAF consortium, Z worked to develop a Roadmap for SAF to 2050 – which shows that there is a viable pathway for standing up a SAF industry locally.




