The announcement marks Illinois’ largest Sustainable Aviation Fuel (SAF) supply agreement to date with a minimum of 3.6 million gallons of neat SAF in early 2025 and the option to purchase up to 25 million gallons of the fuel.
On a blended SAF basis, the deal represents up to 35% of the low-cost carrier’s jet fuel requirements out of the Chicago hub. It will account for around 12 million ballons blended SAF for the initial delivery of fuel which is expected as early as Q4 2024 and around 84 million gallons of blended SAF for the option to purchase additional fuel over the agreement’s term. In addition to being available for its scheduled services, the SAF volume being supplied will enable Southwest to expand access for corporate and cargo customers to support the use of SAF across its wider operations.
Governor JB Pritzker, said the state’s airports are some of the “most connected in the country,” as he praised Southwest and Midway International Airport on their partnership to expand SAF as an “essential step toward a clean energy future.” He also referenced his support for the nation-leading SAF tax credit, which was introduced and which has already made an impact on adoption rates in Illinois.
Commissioner Jamie L. Rhee of the Chicago Department of Aviation (CDA) which owns and operates both Midway and O’Hare airports added, “it is critical that Chicago’s airports work together with our airline partners to promote a cleaner, greener future for aviation.”
The fuel, which is being supplied by Valero is expected to be certified by a Carbon offsetting and reduction scheme for international aviation (CORSIA)-approved Sustainability Certification Scheme (SCS) at the batch level, providing third-party verification that the SAF meets or exceeds all the requirements of Southwest’s SAF policy. The neat SAF will be supplied by a joint venture (Diamond Green Diesel) between Valero and Darling Ingredients will be blended with Valero’s conventional jet fuel and delivered by the existing pipeline infrastructure.
Recognising that scaling SAF supply and production is key to making aviation more sustainable, US Senator Tammy Duckworth noted that increasing American-made SAF from a wide range of feedstocks is a “true win-win solution that supports domestic farmers and blenders while reducing the nation’s carbon footprint.”
Image source: Southwest Airlines
