Argus, a global energy and commodity price reporting agency, has introduced the world’s first assessed price for UK sustainable aviation fuel (SAF) certificates. This new development expands Argus’ coverage of the northwest European SAF market. The prices will help market participants optimize compliance with the UK mandate by comparing costs of certificates and physical bio-SAF.
The certificates are generated from SAF produced using hydrotreated esters and fatty acids (HEFA) feedstock. They can be bought, sold, or used for compliance, providing a flexible trading option. The new prices will give transparency to the costs involved in meeting the UK’s increasingly strict aviation emissions targets.
Adrian Binks, Argus Media’s CEO, said, “As SAF mandates ramp up, companies need reliable prices for certificates and fuel. Our new assessment will support transparency in this rapidly evolving market.”
The assessed prices track tradeable certificates acceptable for meeting the UK SAF mandate. These certificates are created when eligible SAF is supplied in the UK and can be redeemed by obligated parties. The UK mandate requires jet fuel suppliers to blend 2% SAF by 2025, increasing to 10% by 2030 and 22% by 2040, to reduce aviation emissions.
This new certificate price complements Argus’ existing assessments for biofuel tickets used in UK and EU road transport mandates. The company also provides physical SAF prices, including SAF produced via HEFA and electrolytic SAF (e-SAF).
As UK SAF requirements grow, transparent certificate pricing will become increasingly valuable for industry stakeholders seeking to meet climate goals and comply with regulations.
