DOE forms multi-agency group to advance sustainable aviation fuel

The Department of Energy (DOE) has formed a multi-agency policy working group to accelerate the development of sustainable aviation fuel (SAF) in the Philippines.

The group was established during the first installment of the 2026 Sustainable Aviation Fuel (SAF) Policy Development Workshop.

Among those tapped to join the working group are the Civil Aviation Authority of the Philippines (CAAP), Island Skies Alliance, Boeing, the Subic-Clark Alliance for Development, and the National Aviation Academy of the Philippines.

The initiative aims to fast-track priority actions and strengthen coordination among key stakeholders in building a viable SAF industry in the country.

Represented by the Renewable Energy Management Bureau, the DOE emphasized that SAF plays a crucial role in enhancing national energy security and reducing reliance on imported fuels.

The workshop also underscored the importance of cross-sector collaboration in positioning the Philippines as a competitive player in the global SAF market.

Data showed that aviation fuel consumption in the country reached 35.67 thousand barrels per day in 2023, recovering toward pre-pandemic levels of 49.3 thousand barrels per day in 2019.

Demand is driven by major carriers such as Philippine Airlines and Cebu Pacific, with consumption expected to continue rising in 2024 despite high fuel surcharges.

Fuel surcharges, set by the Civil Aeronautics Board (CAB), are regularly adjusted due to volatile fuel prices, with a Level 3 surcharge — ranging from P83 to P300 for domestic flights — recently implemented for 2026.

Jet fuel demand is projected to increase significantly, from 640,000 tons in 2023 to 1.095 million tons by 2033, highlighting the urgency of developing alternative and sustainable fuel sources.