Government cancels e-kerosene quota: setback for climate protection!

Government cancels e-kerosene quota: setback for climate protection!

The aviation industry is feeling the winds of change, and it's not just the rise of new airlines or flight routes. Rather, it is about the central question of decarbonization: How can air traffic be made more climate-friendly? But it was precisely in this important phase that the federal government decided to remove a crucial quota requirement for climate-friendly kerosene, also known as power-to-liquid (PtL). These measures should actually come into force in 2026 and increase gradually until 2030, which should lead to a market revival and the use of around 200,000 tons of e-kerosene in Germany.

But now everything is on hold: the original plan of two billion euros for the construction of new PtL systems has been significantly reduced to 100 million euros. This could not only jeopardize the rapid development of a functioning market for e-kerosene in Germany, but also hinder long-term investments in this technology. The federal government has completely removed the national e-kerosene quota from the Federal Immission Control Act (BImSchG), which is causing concern among many experts as it threatens to put the aviation industry at a competitive disadvantage, such as [Focus].

A step backwards in the transport transition?

Environmental groups are alarmed and compare the decision with a step backwards in the decarbonization of air traffic. Jürgen Resch, the Federal Managing Director of German Environmental Aid (DUH), expresses concerns about the effects of canceling the PtL quota and describes this as an obstacle to the ramp-up of e-kerosene. In fact, the quota originally provided for a fixed proportion of electricity-based fuels in aviation in order to reduce CO2 emissions in the long term. This measure would have been particularly important as, under EU guidelines, aviation must use at least 1.2% synthetic kerosene from 2030, with a target of 35% by 2050.

The current high production costs for e-kerosene and the strict regulations have so far made economic implementation difficult. The cost of e-fuels is currently around four to five times higher than that of conventional kerosene. Experts are therefore calling for international cooperation to promote cost-effective manufacturing processes - because without a functioning market structure there will be little progress in the area of ​​climate-friendly technologies. In parallel to these discussions, the possibility of a hydrogen and e-fuels quota for road transport is also being discussed, which causes additional confusion.

A global look at e-fuels

In an international comparison, Germany is lagging behind when it comes to innovative e-fuel projects. European countries have announced a total of over 100 pilot and commercial e-fuel projects, while over 150 such projects are planned worldwide. It is pointed out that despite the challenges, e-fuels are essential for decarbonization, especially in air and maritime transport. Developments in production and renewable energies could result in costs falling significantly by 2030 through technological improvements.

What are the next steps? The aviation industry is under pressure to move towards faster and greener solutions as public opinion becomes increasingly sensitive to these issues. Airliners and other stakeholders must remain vigilant to avoid being left behind. It remains to be seen how the government will find the balance between economic interests and the necessary environmental measures. Time is of the essence and the big business of “green flying” has to be tackled.

In summary, the removal of the e-kerosene quota poses major challenges for the aviation industry. The quicker a solution is found, the more likely it is that aviation can experience real, positive change. So the synthetic fuels debate is far from over, and the next few months will be crucial.