Airbus Sustainable Alternative Fuels Targeting carbon-neutral aircraft operations Presented by Frédéric Eychenne AIRBUS Environmental Affairs
Agenda Background What Airbus is doing? Role and Strategy Value Chain projects Commercial Flight support European Alternative: BioFuels FlightPath Next steps
Background Fuel consumption & CO2 emissions trends The situation... Aviation represent: 2% of emissions 10% of fuel use 2 billion tonnes in 2008 Fuel represents around 30% of operating costs for Airlines The future? Aviation Traffic will double in the coming 15 years! Aviation traffic for more than 2 billion people and over 40MTonnes of cargo every year! Fuel consumption & CO2 emissions will more than double within the next 25 years
Background The Challenges for Aviation Source: UNFCCC CLIMATE TALKS, DURBAN The answers? Product improvement Economic Measures Alternative Fuels Air Traffic Management
Background Airbus acting as a Catalyst Local Governments ICAO requirements on Climate Change Action Plan Aviation Industry & Organizations Public and Private Fundings The Challenges: Farmers The Ambition: GHG Emissions Climate Change Energy market changes Aviation market growth and challenges Universities, NGO Airlines Airbus Logistics Refineries Concrete changes for a Sustainable Aviation Future in: Environment Economical Development Research & Technologies Social Food security Sustainability Criterias - RSB AIRBUS taking a lead in Sustainable Aviation
Agenda Background What Airbus is doing? Role and Strategy Value Chain projects Commercial Flight support European Alternative: BioFuels FlightPath Next steps
What Airbus is doing? Role & Strategy European Commission: 2MT by 2020, Off take, Policy, Financing, 9 Refineries Demonstrations Value Chains Commercial Flights October 2009 Qatar Airways February 2008 Airbus A380 November 2010 TAM April 2011 InterJet Leading to Certification Leading to Production Leading to Green flights Airbus Drivers Customers, CO2 Reduction, Commercialisation, Aviation Industry
Agenda Background What Airbus is doing? Role and Strategy Value Chain projects Commercial Flight support European Alternative: BioFuels FlightPath Next steps
What Airbus is doing? Managing Value Chain Projects 1 Guarantee the sustainability of the solution 2 Set-up one Value Chain Project on each continent?????? Alternative Fuels Implementation Qatari Solution Microalgae Alternative Fuels Implementation Romanian solution Camelina Alternative Fuels Implementation Spanish solution Camelina Alternative Fuels Implementation Brazilian solution Jatropha Prepare and push for commercialization of Bio-Jet Fuels
What Airbus is doing? Managing Value Chain Projects All Around the world Go to next step
Sustainable value chain projects: Brazilian Biokerosene Platform Key facts: TAM & Airbus Alternative Fuels Demo flight done on November 23rd 2010 Stakeholders: TAM, Airbus, JetBio, UOP, AirBP Objective: 80 000 tonnes of Jatropha Bio-Jet Fuel by 2013 (25% of TAM s annual fuel consumption) Off-take agreement by TAM for purchasing of all the Alternative Fuels from the value chain Sustainability Assessment and LCA studies conducted by Yale University. Achievements: Sustainability Study Report. Transplantation of Jatropha plants and variety selection (200 varieties selection plan over the next 2 years). Next steps & perspectives: Production scale-up: 4 000 Ha Jatropha 80 000Tons/year of Alternative Fuels End 2013 TAM Consumption estimation 10 000 Tons/year from end 2013 onwards Long-term: Extend to other countries in South-America
Sustainable value chain projects: Romanian Camelina Value Chain Project Key facts: Stakeholders: Feedstock: TAROM, Airbus, Camelina Company España, UOP Camelina Sativa Objectives: 100 000 tonnes of Camelina Alternative Fuels in 2015 Compliant with the European Advanced BioFuels Flightpath 2M tons of Alternative Fuels to be produced in Europe by 2020 Sustainability Assessment and LCA conducted by Manchester Metropolitan University TAROM Alternative Fuels Demo Flight planned mid 2012 Achievements: Feasibility Study performed in 2011 Variety selection done Trials for assessing usage of Polluted Land Launched Involvement of Romanian Government Next steps & perspectives: Plan for Agriculture at Goverment level Feasability study for local Refinery revamping Production pilot on 400Ha 500T of Oil beginning 2013 Sustainability study completion
Sustainable value chain projects: Spanish Initiative for Alternative Fuels Production and Consumption Key facts: Stakeholders: Senasa, Aesa, Obsa, Camelina Company España, Iberia, Airbus Objective: Develop a complete national value chain for a new sustainable and renewable aviation bio-fuel industry in Spain The project is structured in three phases: 2010 2011 Feasibility Study: Economical, social and environmental 2011 2013 Demonstration of Feasibility phase results and Scale-Up 2013 onwards Implementation and scaling up Achievements: Feasibility Study performed in 2011 2000 Ha cultivation in 2011 / 2012 Next steps & perspectives: Government support for deployment of Camelina Value Chain strategy 2013 production ramp-up surface x3
Sustainable value chain projects: Qatar Advanced Alternative Fuels Platform Key facts: Stakeholders: Qatar Airways, Airbus, Rolls Royce, Qatar Petroleum Qatar University/Science & Technology Park (QSTP) The world s first Alternative Fuels Value Chain Project (Launched Jan, 2010) Feedstock and Alternative Fuels Produced: Micro-algae BTL Development from lab scale to the demonstrator scale The CO² required for the algae growth is being captured from a Qatar Petroleum refinery Partnership with Qatar University: Knowledge gained from the project will be reused to develop a Bioengineering course that will start in Autumn 2011 Next steps & perspectives: New feedstock experiment (ATJ = Alcohol To Liquid) with the support of AIRBUS EADS-IW involved on Algae R&T Land purchased for Pilot Plant construction EADS-IW investigation on Facilities in Doha for R&T
Airbus Alternative Fuels Projects Feedstock = Camelina 100 000 T of Alternative Fuels in 2015 2M T in 2020 (EU Flight Path) Feedstock = Camelina 2000Ha planted 6000Ha to be planted for 2013 harvest 2M T in 2020 (EU Flight Path) Feedstock = Micro-algae Feedstock = Jatropha 4000Ha in 2013 for 80000T of Oil 25% of TAM annual Fuel Consumption
Agenda Background What Airbus is doing? Role and Strategy Value Chain projects Commercial Flight support European Alternative: BioFuels FlightPath Next steps
What Airbus is doing: Supporting commercial Flights using Alternative Fuels Lufthansa Pure Sky July 15th 2011 Dec 15th 2011 World's first regular scheduled commercial flights. Mix of feedstocks: Jatropha and Tallow-Oil. A321 - IAE engines - 50% blend of HEFA kerosene in one engine 4 daily trips HAM-FRA-HAM for 6 months (1 200 flights). Objective R&T: 1. Engine performance Part of the BurnFair R&T Project 2. Joint research activity of 12 universities and industry partners 3. Lufthansa leadership Source: Lufthansa
What Airbus is doing: Supporting commercial Flights using Alternative Fuels Finnair flight done July 21 st 2011 A319 50% UCO based HEFA in both engines Amsterdam to Helsinki Feedstock: Used Cooking Oil (UCO) Interjet flight done July 21st 2011 A320-300 27% blend of Jatropha based HEFA in both engines Mexico City to Chiapas Feedstock: Jatropha Oil Iberia flight done October 3rd 2011 A320 25% blend of Camelina based HEFA in both engines Madrid to Barcelona Feedstock: Camelina Sativa Oil
Agenda Background What Airbus is doing? Role and Strategy Value Chain projects Commercial Flight support European Alternative: BioFuels FlightPath Next steps
What Airbus is doing: Supporting the European BioFuels Flightpath 2 MTons of Aviation Alternative Fuels in 2020 = 4% of EU Annual Fuel Consumption Cross Industry, government collaboration & consensus By 2015 Set-up financial mechanisms Secure sustainable feedstock production to feed 3 refineries Build-up 3 new refineries and launch Alternative Fuels production Manage communication strategy< Objective 3 Refineries Cost 1.300 M By 2018 Regular commercial flights using bio-jet fuel blends Build-up 4 additional refineries Build-up 2 additional refineries producing algae & microbial oil based aviation Alternative Fuels Objective 6 Refineries Cost 1.700 M By 2020 Full deployment of at least 2 million tons of Alternative Fuels per annum for EU aviation 9 Refineries 3.000 M total Cost R&T Roadmap alignment started through EADS IW (TRL) 10 Completed Templates Workshop December 2011 (Brussels) European CAA for Alternative fuel Workshop January 2012 (Brussels) Financial instruments (Member States)
What Airbus is doing: European Alternative Fuels Flightpath Roadmap Workshop 18/05/2011 Presentation of the Alternative Fuelss FlightPath Paris Air Show 22/06/2011 Launch of the Alternative Fuelss FlightPath Workshop 20/09/2011 Technologies Benchmarking Workshop 12/12/2011 Workshop Civil Aviation Authorities Workshop 20/03/2012 Financial Mechanisms Financial Institutions and Member States Bench- Marked Technologies Workshop XX/12/2011 Incentives & policy Template for data collection for maturity assessement OnGoing (20 Alternative Fuels producers provided feedback) Presentation by different memberstates on local Alternative Fuels initiatives Result: Share data btw memberstates and set-up a version of EU CAAFI
Agenda Background What Airbus is doing? Role and Strategy Value Chain projects Commercial Flight support European Alternative: BioFuels FlightPath Next steps
Next steps Strongly monitor the implementation of the existing projects. Continue to Identify gaps and increase expertise based on real and concrete projects experiences. Transform from demonstration & Trials to Industrial context for large use scale for the Long term. Involve Governments and financial institutes to develop local policies and strategy to support implementation. Assess at each stage of Value Chain the sustainability aspects and manage corrective actions. Perform «Total Green Flights» with our customers. The objectives are ambitious but we are in the right way to achieve them!
AIRBUS S.A.S. All rights reserved. Confidential and proprietary document. This document and all information contained herein is the sole property of AIRBUS S.A.S. No intellectual property rights are granted by the delivery of this document or the disclosure of its content. This document shall not be reproduced or disclosed to a third party without the express written consent of AIRBUS S.A.S. This document and its content shall not be used for any purpose other than that for which it is supplied. The statements made herein do not constitute an offer. They are based on the mentioned assumptions and are expressed in good faith. Where the supporting grounds for these statements are not shown, AIRBUS S.A.S. will be pleased to explain the basis thereof. AIRBUS, its logo, A300, A310, A318, A319, A320, A321, A330, A340, A350, A380, A400M are registered trademarks.