Asia-based biofuels company EcoCeres has partnered with airline Cathay Pacific and HSBC Hong Kong bank to launch an initiative to support the use of sustainable aviation fuel (SAF) in Hong Kong.
The project was aimed at supporting the long-term decarbonisation of air travel and developing a local SAF ecosystem for Hong Kong, the companies said on 19 November.
As part of the agreement, HSBC Hong Kong was entering into a one-time purchase agreement for around 3,400M tonnes of SAF produced by EcoCeres, to be used in Cathay Pacific flights departing from Hong Kong International Airport.
Derived from 100% waste-based biomass feedstock and International Sustainability and Carbon Certification (ISCC)-certified, EcoCeres said its SAF could deliver an estimated reduction of up to 90% in greenhouse gas (GHG) emissions compared to conventional jet fuel.
The batch of SAF ordered by HSBC Hong Kong was made from used cooking oil (UCO), EcoCeres said.
“This is the largest SAF purchase that HSBC has undertaken to date. The Hong Kong initiative will serve as a pilot programme, which could help pave the way for broader implementation,” HSBC CEO Hong Kong Luanne Lim said.
HSBC has set a target to become a net zero bank by 2050. The bank published its first Net Zero Transition Plan in January 2024, outlining its approach and the actions underway to help meet that ambition.
Cathay has set a target to achieve net-zero carbon emissions by 2050 and to use SAF for 10% of Cathay Pacific’s total fuel consumption by 2030.
As well as producing SAF, Hong Kong-based EcoCeres produces hydrotreated vegetable oil (HVO), renewable naphtha and cellulosic ethanol (CE).
In the Hong Kong SAR Government chief executive’s recent policy address, the city’s commitment to SAF development was reaffirmed with plans to establish a usage target for SAF expected within the next year.