Decarbonizing the Skies with Avelia: Shell and Accenture Partner on Blockchain-Based SAF Platform
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As the world moves towards net zero, the aviation industry is under pressure to accelerate its decarbonisation efforts.
Many commercial airlines are looking to reduce carbon emissions with sustainable aviation fuel (SAF), which can be used in today’s airplanes without any modifications. Though these fuels can reduce lifecycle emissions by up to 80% when used neat, they are more expensive to produce and the feedstock needed for production is in short supply.
For potential producers, the current landscape of fragmented and unclear demand is preventing the investment into SAF production that is required to drive down cost and enable increased supply.
However, companies with high business travel are increasingly looking for solutions to credibly reduce their emissions in their efforts to become a more sustainable business for their customers and investors.
The Avelia platform has been developed with an overall goal to provide the corporate travel industry with a way to authenticate, record and report the emissions reduction benefits of SAF, regardless of where in the world the SAF is used to fuel a flight.
When Tech Meets Human Ingenuity
Avelia was launched in June 2022 and is now processing live transactions. It is one of the world’s first blockchain-powered digital sustainable aviation fuel (SAF) book-and-claim solutions for business travel.
To create Avelia, a global, cross-function team from Accenture, Shell and the Energy Web Foundation worked closely together.
Accenture groups helped design, build and implement the blockchain component of the platform. Avelia uses blockchain for transparent tracking of the different environmental attributes SAF delivers for the aviation fueling network.
A Valuable Difference
Avelia offers a number of benefits for both airlines and business customers:
- Increased Transparency: The blockchain-based platform provides a secure and transparent way to track the environmental attributes of SAF. This allows airlines and business customers to be confident that they are getting the emissions reductions they are paying for.
- Reduced Costs: By aggregating demand for SAF, Avelia can help to drive down the cost of the fuel. This makes it more affordable for airlines and business customers to switch to SAF.
- Credibility: Avelia provides a credible way for companies to reduce their carbon emissions. This can help to improve their ESG score and attract investors.
Greener Skies on the Horizon
At launch, Avelia became the largest SAF book-and-claim platform, offering around 1 million gallons of SAF. That’s enough to power almost 15,000 individual business traveler flights from London to New York.
The platform has successfully demonstrated the credibility of the book-and-claim model and the use of blockchain to ensure secured allocation of SAF’s environmental advantages to companies and airlines.
Now, with Avelia, airlines and business customers can simultaneously reduce emissions while ensuring transparency and accountability by avoiding issues such as double counting.
Alongside Avelia, Shell is continuing to make significant investments in the production and supply of SAF and has an ambition that SAF will account for 10% of its total aviation fuel sales by 2030. The demand signals driven by Avelia will help to reinforce this investment and can provide confidence to look at the scaling of supply further.
Thus Avelia may be key to helping airlines fulfill their commitment to achieve net-zero emissions by 2050—making our view from above all the more enjoyable.