Break out session Climate Smart Supply Chains. June Misha Valk

Transcription

1 Break out session Climate Smart Supply Chains June Misha Valk

2 Outline Rationale for biojet and introduction SkyNRG Our approach to supply chain development

3 Biojet fuel is essential in order to substantially reduce carbon emissions 1 Improve fleet efficiency by 1.5% per year from now until Cap net emissions from 2020 through carbon neutral growth By 2050, net aviation carbon emissions will be half of what they where in

4 Biofuels can be a natural hedge against increasingly volatile fossil fuel prices Historic jet fuel prices $/Mt $1400 $1200 $1000 $800 $600 $400 $200 $ Operational cost structure 100% 3% 5% Other 6% Fees 18% Maintenance Crew 31% Ownership 37% Fuel Gary Kelly, Southwest Airlines CEO: Where is it going to be 90 days from now? It just is alarming to think that you could have that much volatility and that much surprise to the world.

5 Track record SkyNRG Sustainability Board KLM Corporate BioFuel Programme SkyNRG founded by three complementary JV partners Copernicus Institute Utrecht University SkyNRG, KLM, the Dutch government, Neste, Port of Rotterdam and Schiphol set up a supply chain initiative in NL SkyNRG supplied most commercial sustainable jet fuel flights up to date First Green Route Weekly biofuel flights from New York to Amsterdam Second Green Route Weekly biofuel flights from Amsterdam to Aruba & Bonaire

6 SkyNRG s main focus is to supply aviation with sustainable jet fuel To do this we have two main pillars in the company Supply & Operations 1 2 Market development Operational Fuel sourcing Blending & certification Delivery & paperwork Regional supply chain development Feedstock Technology Downstream logistics Co-funding the premium Corporate program Airport commitments Incentivized systems Feedstock Ensure sustainability Enabling projects Discussion & Interaction Different stakeholder groups (governments, airlines, industry, NGOs) Conferences Workshops

7 Outline Rationale for biojet and introduction SkyNRG Our approach to supply chain development

8 The two pillars come together in our BioPort concept A local BioPort focuses on creating value downstream in the Biojet fuel value chain by aggregating all stakeholders at a single airport. Two key elements: 1. Get co-funding mechanisms in place (government incentives + Corporate Program to bridge the transition ) 2. Development of a efficient regional supply chain (feedstock + conversion technology) that can compete with fossil fuel SkyNRG BioPort structure 2 Develop a regional supply chain 1 Get BioPort operational with external fuel supply Feedstock Conversion Blending & Logistics Physical bio jet delivery BioPort development team $ $ Government Corporates Physical bio jet delivery Airline Benefits Corporate Program

9 Highlighting: BioPort Holland A joint initiative to strengthen the development and deployment of sustainable aviation biofuels in the Netherlands A consortium of strong partners with ambitious sustainability targets Enabled by the implementation of the EU Renewable Energy Directive in the Netherlands I&M EZ Veg oil Refining Pure fuel Blending Blended fuel Airport hydrant

10 Highlighting: the corporate program SkyNRG Corporate Program: rationale and description Airlines do not have enough capital to pay a premium for sustainable jet fuel SkyNRG s Corporate Program enables corporations to reduce their business travel footprint by flying on sustainable jet fuel The program connects the corporates to other frontrunners, that demonstrate leadership in the field of sustainability The program offers a worldwide range of exposure, e.g. large press events & media coverage The first corporate program was set up with KLM and enables green routes Green Route: New York JFK- Amsterdam Schiphol Airline: KLM Aircraft: Boeing 777 Feedstock: Used Cooking Oil Blend: 20% Frequency: every Thursday Sustainability: Entire supply chain RSB certified Green Route: Amsterdam Schiphol - Bonaire Airline: KLM Aircraft: Airbus / Embrear Feedstock: Used Cooking Oil / Camelina Oil Blend: 20% Frequency: 2 times a week

11 Discussion and questions