Economic and sustainability challenges in Sustainable Aviation Fuel (SAF) Production and Supply: Aligning with U.S. Decarbonization Goals via LCA, TEA, and Business Perspectives

Sustainable Aviation Fuel (SAF) has emerged as a pivotal solution for decarbonizing the aviation sector, which contributes 2-3% of global CO₂ emissions. SAF, derived from renewable feedstocks such as waste oils, agricultural residues, and synthetic fuels, can reduce lifecycle greenhouse gas (GHG) emissions by up to 80% compared to conventional jet fuel. However, its production and supply face significant economic and sustainability challenges, including high costs, limited feedstock availability, and scalability issues. This research employs Life Cycle Assessment (LCA) and Techno-Economic Analysis (TEA) to evaluate the environmental and economic viability of SAF production pathways. Key findings reveal that feedstock selection and conversion technologies significantly influence SAF's carbon footprint and cost competitiveness. While waste-based feedstocks and advanced pathways like Power-to-Liquid (PtL) offer substantial GHG reductions, their high production costs and infrastructure requirements remain barriers to widespread adoption. Policy mechanisms such as tax credits, carbon pricing, and blending mandates are essential to bridge the cost gap and incentivize SAF production. Additionally, industry collaboration and technological innovation are critical for scaling SAF production and integrating it into existing supply chains. This study underscores the need for a holistic approach, combining robust policy frameworks, sustainable feedstock sourcing, and cross-sector partnerships, to align SAF production with U.S. decarbonization goals and accelerate the transition to a low-carbon aviation sector. Future research should focus on optimizing feedstock logistics, advancing conversion technologies, and assessing the long-term impacts of policy incentives to ensure the economic and environmental sustainability of SAF.