Renewable Bio Jet Fuel Is Estimated To Witness High Growth Owing To Increasing Environmental Concerns
Renewable Bio Jet Fuel Is Estimated To Witness High Growth Owing To Increasing Environmental Concerns
The global renewable bio jet fuel market is estimated to be valued at US$ 299.4 Mn in 2024 and is expected to exhibit a CAGR of 17.95 %over the forecast period 2024 to 2031, as highlighted in a new report published by Coherent Market Insights.

Renewable bio jet fuel is a type of biofuel derived from biomass which can be used in aircraft engines as an alternative to conventional jet fuel. It is produced from feedstocks like camelina plant, algae, jatropha, agricultural residues and municipal solid wastes. Used cooking oil is also used for production of bio jet fuels. The global bio jet fuel industry has witnessed significant growth in the recent years due to favorable government policies and initiatives supporting the adoption of renewable and clean sources of energy.

The global renewable bio jet fuel market is estimated to be valued at US$ 299.4 Mn in 2024 and is expected to exhibit a CAGR of 17.95 %over the forecast period 2024 to 2031, as highlighted in a new report published by Coherent Market Insights.

Market Dynamics

The renewable bio jet fuel market is witnessing high growth owing to increasing environmental concerns regarding greenhouse gas emissions from conventional jet fuels. According to Air Transport Action Group, aviation accounts for approximately 2% of global carbon dioxide emissions. Stringent environmental norms by regulatory bodies regarding carbon footprint are encouraging airlines and aircraft manufacturers to focus on the development and usage of sustainable alternative fuels. For instance, International Civil Aviation Organization (ICAO) aims to achieve carbon neutral growth in international aviation from 2020. Another major driver for renewable bio jet fuel market is growing focus of government on policies supporting biofuels. Various countries have introduced incentives like tax exemptions for bio jet fuel producers and blending mandates for oil marketing companies. For example, Europe aims to mandate the blending of 2 million tons of sustainable aviation fuel per year by 2030 and the United States aspires to produce 3 billion gallons of alternative jet fuel annually by 2030.

SWOT Analysis


Strength: Renewable bio jet fuel provides an environmentally friendly option to reduce carbon emissions from aviation. It is derived from renewable plant and waste biomass through thermal and chemical conversion processes. Producers of renewable bio jet fuel receive tax credits and subsidies that make the high production costs more viable.

Weakness: The production capacities for renewable bio jet fuel are still limited compared to conventional jet fuel. Higher costs associated with the development of sustainable feedstocks and specialized conversion technologies make renewable bio jet fuel more expensive than fossil jet fuel currently.

 Opportunity: Stringent environmental regulations and carbon reduction targets provide a policy push for the adoption of lower carbon aviation fuels. Major airlines and airport authorities have set carbon neutrality goals, increasing the demand for sustainable aviation fuels. The commercial aviation industry is exploring co-processing renewable fuels with conventional jet fuel to enable their widespread use.

Threats: Over reliance on specific feedstock supplies like used cooking oil and animal fats could stress their limited availability. Any disruption in feedstock supply chains would impact renewable fuel production. Limited investment in bio refineries poses technology risks as the industry is still developing advanced conversion processes.

Key Takeaways

The Global Renewable Bio Jet Fuel Market Size is expected to witness high growth. Rising environmental awareness and policy support are driving the adoption of lower carbon aviation fuels. Between 2024 and 2031, the market size is projected to increase from US$ 299.4 Mn to over US$ 500 Mn, registering a CAGR of 3.4%. Regional analysis related content comprises

The United States currently dominates the renewable bio jet fuel market with the highest production and commercial flight operations. Major airports like Los Angeles, San Francisco and Seattle have initiated bio jet fuel blending programs with regional suppliers. Europe is also an important emerging market led by countries like Germany, France and Sweden. European airline KLM conducted numerous commercial passenger flights using sustainable aviation fuel blends at Amsterdam airport in recent years.

Key players related content comprises

Key players operating in the renewable bio jet fuel market are Abbott Laboratories, Aurobindo Pharma USA, Boehringer Ingelheim International GmbH, Cipla Limited, Hikma Pharmaceuticals plc, Jubilant Cadista Pharmaceutical, Sanofi S.A., Solco Healthcare (Prinston Pharmaceutical Inc.) and Torrent Pharmaceuticals Ltd.

Explore more information on this topic, Please visit-
https://uncoveredresearchtrends.blogspot.com/2024/01/the-global-renewable-bio-jet-fuel.html

Explore more trending article related this topic:
https://techaxen.com/rise-of-surgical-robots-in-healthcare-industry/

disclaimer

What's your reaction?

Comments

https://www.timessquarereporter.com/assets/images/user-avatar-s.jpg

0 comment

Write the first comment for this!

Facebook Conversations