Get 40% Off
🤯 This Tech Portfolio is up 29% YTD! Join Now to Get April’s Top PicksGet The Picks – Just 99 USD

From bin bags to planes: Shell, BA plan EU's first waste-to-jet fuel plant

Published 20/08/2019, 13:14
Updated 20/08/2019, 13:16
From bin bags to planes: Shell, BA plan EU's first waste-to-jet fuel plant

From bin bags to planes: Shell, BA plan EU's first waste-to-jet fuel plant

By Susanna Twidale

LONDON (Reuters) - Aeroplanes could be powered by jet fuel made from household rubbish from 2024 under plans by Shell (L:RDSa), British Airways and Velocys (L:VLSV) to build Europe's first large-scale plant to produce jet fuel from domestic and commercial waste.

Aviation accounts for around 2.5% of global carbon dioxide emissions but this is predicted to grow as air travel increases, at a time when nations are seeking to limit emissions to curb climate change.

The aviation industry has a target to cut its greenhouse gas emissions by 50% by 2050 compared with 2005 levels and sees the emergence of lower-carbon biofuels as a vital step to meeting this goal.

Shell, BA and Velocys - who have applied for planning permission for the plant from local authorities in North East Lincolnshire - are targeting domestic or commercial black bag waste that would otherwise end up in landfills or incinerators.

Waste-to-energy is already commonly used in the power sector, where household rubbish such as food or grass cuttings are burnt to create electricity.

"Sustainable fuels can be a game changer for aviation which will help power our aircraft for years to come," said British Airways Chairman and Chief Executive Officer Alex Cruz.

Construction on the Altalto Immingham project, near the Humber Estuary in the northeast of England, could begin in 2021 with the site producing commercial volumes of sustainable aviation fuel three years later. Altalto Immingham Ltd is a subsidiary of fuel technology firm Velocys.

A planning decision by the North East Lincolnshire Council is expected by the end of November.

The three companies have invested a combined 7.3 million pounds in the project so far, which is ultimately expected to cost hundreds of millions of pounds to build.

The British government has also provided almost 0.5 million of funding for the project which could create around 130 permanent jobs.

British Airways and Shell will also purchase the biofuel produced, which emits around 70% less greenhouse gases compared with the fossil fuel equivalent, Velocys said.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.