Biden Administration Allocates $291 Million in Grants to Advance Sustainable Aviation Fuel and Low-Emission Technologies

The Biden administration has announced a $291 million investment in grants to accelerate the aviation industry’s shift toward zero-emission, sustainable fuel sources. Of this amount, approximately $244 million will be allocated to 22 projects focused on producing, transporting, and testing sustainable aviation fuels (SAFs). The remaining funds will support 14 projects dedicated to developing other low-emission aviation technologies.

Notable allocations include $2.7 million to the University of Illinois for establishing a test facility dedicated to electric airplane technology and $16.8 million to renewable biofuel company Gevo for converting an existing fuel facility to produce SAFs.

“These grants are a significant step toward decarbonizing the aviation industry while promoting domestic economic growth and reinforcing the U.S.’s leadership in global aviation,” U.S. Transportation Secretary Pete Buttigieg stated in a news release on August 23.

Sustainable aviation fuels, derived from alternatives to fossil fuels such as fats and oils from food and yard waste, have the potential to reduce greenhouse gas emissions by up to 94%, according to the U.S. Department of Energy. The Biden administration has set a target to achieve net-zero greenhouse gas emissions from the aviation sector by 2050.