Abu Dhabi-based Etihad has partnered with Respira for its Greenliner carbon offset programme and will initially purchase 80,000 tonnes of CO2 offsets in a Tanzanian forestry project. The Makame Savannah REDD project, developed by Carbon Tanzania, employs a community-based model to curb deforestation and promote better management of local natural resources across over 100,000 hectares in the southern extension of the Tarangire-Manyara ecosystem.

The scheme is verified and certified by Verra under its Verified Carbon Standard to ensure the carbon offsets are quantifiable, additional and fully sustainable. The scheme’s first offset vintages were certified in early November 2020. The Tanzanian project also conforms to Climate, Community and Biodiversity (CCB) Standards, which protect endangered species and local communities.

“Respira offers a fresh approach to the carbon market by aligning the interests of project developers, buyers and capital providers,” said Ana Haurie, CEO of Respira. “In this way, we create win-win outcomes for all stakeholders. It is a privilege to work with Etihad, which has shown real commitment to its sustainability goals through what is a challenging period for the airline industry.”

To support Etihad and Abu Dhabi’s long-term sustainability objectives, Respira will establish operations at the Abu Dhabi Global Market, the emirate’s international financial centre, in order to bring its offset expertise to the Middle East, said the company.

Commented Tony Douglas, Etihad Aviation Group CEO: “It’s encouraging to end a difficult year with such a positive move for the sustainable future of aviation. While the year brought many challenges, sustainability has remained at the top of our agenda, and the work hasn’t stopped. Expect to see more ground-breaking initiatives in 2021.”

Added Dr Alejandro Rios-Galvan, Chairman of the Sustainable Bioenergy Research Consortium (SBRC) at Khalifa University of Science and Technology, who advises the airline on a range of sustainability issues: “This is a great start for Etihad’s zero-carbon journey using a well-respected offset standard that is fully compliant with the best sustainability practices out there. We look forward to continue supporting Etihad on their long-term sustainability strategy.”

The airline said the Greenliner offset programme would complement its ongoing work to develop and test SAFs, with a goal of making them commercially viable for widespread adoption by the industry.

Etihad recently raised $600 million in the world’s first ‘transition sukuk’, a financial instrument enabling organisations to raise funds from investors in accordance with Islamic finance principles. Transition finance supports companies to make progress towards commitments to cut carbon in line with the goals of the Paris climate agreement. The proceeds will be used by the airline for energy-efficient aircraft and research and development into SAF.

According to HSBC, which acted with Standard Chartered Bank as joint global coordinators and joint sustainability structuring agents on the deal, the sukuk also includes a commitment from the airline to pay a penalty in the form of carbon offsets if it fails to meet its short-term target to reduce the carbon intensity of its passenger fleet. Etihad has pledged to reduce its passenger fleet’s emissions intensity by 20% by 2025 from a 2017 baseline.

“Many industries, including airlines, need to undertake complex and gradual transformations to reduce their carbon emissions – and the financial sector has a responsibility to help them,” explained Ali Taufeeq, Director, Middle East Debt Capital Markets, HSBC. “The transition sukuk issuance by Etihad was a natural step in this direction and we are pleased to assist them in accelerating investment in more environmentally-friendly solutions.”

The bank said it is expecting the sustainable finance market to gain further traction over the next few years as more issuers look to source capital more sustainably. It has set up a dedicated environmental, social and governance (ESG) Solutions Unit with an ambition to provide between $750 billion and $1 trillion in sustainable financing and investment by 2030. Transition finance is any form of financial support that helps high-carbon companies start to implement long-term changes to become greener, says HSBC, and bridges the gap between traditional and sustainable financing as businesses begin the journey to net zero.

The Etihad transition sukuk follows the first aviation financing linked to the UN Sustainable Development Goals it raised in December 2019.

“By issuing a sustainability-linked sukuk, Etihad is voluntarily adding to its existing commitments under CORSIA and also committing to reduce its carbon intensity,” said Adam Boukadida, Chief Financial Officer, Etihad Aviation Group.

Meanwhile, Sir Tim Clark, President of rival Emirates, said his airline remained dedicated to sustainability and reducing its environmental impact.

“We are watching developments in sustainable aviation fuel very closely and we look forward to a time when it can be produced at scale and in a cost competitive manner. Our latest A380 delivery flight was partially powered by SAF and this is a positive step towards reducing our overall emissions,” he commented.

The SAF for the delivery flight was produced in Finland by Neste from used cooking oil. Emirates said it continued to support a number of SAF initiatives and is part of the Steering Committee of the Clean Skies for Tomorrow Coalition, established by the World Economic Forum to promote the development of SAF. Along with Etihad, it recently supported a series of webinars (Sustainable Aviation Fuels Initiative for the United Arab Emirates) on the future of SAF in the UAE hosted by Khalifa University. A third of Emirates’ crew transportation buses in Dubai currently are powered by biofuels, with one of its contractors, Al Wegdaniyah, adopting biofuel supplied by Neutral Fuels.

“We are pleased to be able to offer our customers the opportunity to offset the carbon emissions associated with their journeys with us,” said Qatar Airways’ Group Chief Executive, Akbar Al Baker. “As an environmentally responsible airline, our modern fleet of technologically advanced aircraft, together with our fuel efficiency programme, combine to optimise aircraft performance and reduce the environmental impact of flying. Our customers can now help to further minimise their environmental footprint by opting to contribute to our carbon offset programme.”

Customers can opt in when purchasing tickets through the Qatar Airway’s website and mobile application, with booking information, including information regarding the carbon offset programme, available in multiple languages. The airline assures customers the credits they buy are from projects delivering independently verified carbon reductions as well as wider environmental and social benefits.

QAS-approved offsets are checked against a 40-point checklist that includes emissions calculations, carbon reduction project selection and information provision. Carbon calculation uses ICAO methodology supplemented with actual airline carbon data. With certain limitations, approved offsets include UN CDM CERs, Gold Standard or VCS (version 2007 onwards) VERs and approved offsets based on land use employing sustainable REDD+ project methodologies.

The Fatanpur project consists of 54 wind turbines, installed in and around villages in the central Indian state of Madhya Pradesh. They displace electricity generated from fossil fuel sources from the Indian grid.

“We are pleased to be working alongside Qatar Airways and IATA to retire high quality, independently verified carbon credits on behalf of Qatar Airways’ customers who want to take responsibility for the environmental impact of their flight,” said Robert Stevens, ClimateCare’s Director of Partnerships. “Their support for the Fatanpur project not only reduces global carbon emissions, it also provides employment opportunities; delivers improved education through providing materials and expertise to nearby schools; and supports a mobile medical unit – enabling improved healthcare to the local community.”

ClimateCare has over 20 years’ experience working with public and private sector clients to fund sustainable development projects around the world, with offices in the UK and Kenya, and is currently ranked the top B Corp in the UK. B Corp is a global movement of 3,500 companies “that are using business as a force for good”.

Welcoming Qatar Airways to the IATA Carbon Offset Program, IATA Director General Alexandre de Juniac said: “There is no alternative to aviation when it comes to long-distance travel and carbon offsetting is an immediate, direct and pragmatic means of limiting the impact of climate change.”

Airlines that have been audited and are currently QAS certified include Mango Airlines, South African Airways, SriLankan Airlines, TAP Portugal and Thai Airways.

Based on the number of eligible departure airports, the direct routing should result in a total saving of 155 days of flying time per year, increasing to around 403 days in the event more departure airports are deemed eligible and air traffic returns to previous levels.

“The connecting of the airspace between Jordan and Israel is welcome news for travellers, the environment and the aviation industry during these very difficult times,” said Muhammad Al Bakri, IATA’s Regional VP for Africa and the Middle East.

“The direct routing will cut return journey times for passengers by about 20 minutes and reduce CO2 emissions. Airlines will also save on fuel costs, which will help as they struggle to survive the effects of the Covid-19 pandemic.”

Direct flights between Israel and Jordan have taken place since peace accords were signed in 1994 but up till now they did not use each other’s airspace for flights to different destinations. Under the new agreement, Israeli and Jordanian flights can use each other’s airspace between 11pm and 6am local time during weekdays and during a longer window of 12 hours on weekends.

“The agreement will significantly cut flight times to Gulf countries, Asia and the Far East, leading to fuel savings and less pollution,” said a Jordanian government statement.

An Etihad Airways Boeing 787-10 flight on October 14 from Milan Malpensa to Abu Dhabi was the first regular passenger flight to cross Israeli airspace. Etihad, the national airline of the UAE, also became the first Gulf carrier to operate a commercial passenger flight to and from Israel. The Boeing 787 flight departed Tel Aviv to Abu Dhabi on October 19 and returned on October 21. This followed a symbolic commercial flight by Israel’s national airline El Al between Tel Aviv and Abu Dhabi on August 31.

Boosting civil aviation is seen as an important part of the peace accords signed in September by Israel, Bahrain and the UAE, which was brokered by the United States, with the three countries agreeing to ensure regular and direct flights to promote relations. In September, Saudi Arabia allowed flights between Israel and the UAE to cross its airspace.

Image: Flightradar 24

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Qatar Airways launches passenger carbon offset programme in partnership with IATA and ClimateCare

10 November 2020

Middle East peace deal will help save 87,000 tonnes of CO2 emissions with direct routings over Israel

27 October 2020

Boeing’s 2020 ecoDemonstrator test programme ends with transcontinental flight using 50% blended SAF

25 September 2020

As part of Boeing’s 2020 ecoDemonstrator programme, a final test flight of an Etihad Airways 787-10 from Seattle to Boeing’s manufacturing site in South Carolina used 50,000 gallons of a 50/50 blend – the maximum blend permitted for commercial aviation – of sustainable and traditional jet fuel. The sustainable fuel, which has been used in lower blends on other test flights conducted during the programme, was produced from inedible agricultural wastes by World Energy and supplied by EPIC Fuels. Boeing and Etihad have had a longstanding collaboration on sustainable aviation fuels (SAF) and were founding partners on a pilot project taking place at Khalifa University near Abu Dhabi to produce jet fuel from saltwater-tolerant plants. Khalifa University has recently hosted a series of webinars focusing on SAF in the UAE.

Mohammad Al Bulooki, Etihad Aviation Group’s COO, said the ecoDemonstrator flight was a “monumental step forward for the sector to prove the viability of producing a 50/50 blend of SAF at a high volume.”

In January, Etihad took delivery of a 787-10 using a fuel mix comprising 30% SAF produced by World Energy. For more than a decade, World Energy and EPIC have produced and supplied SAF to Boeing for flight testing and the aircraft manufacturer offers airlines the option of using SAF for their delivery flights, the first of these being an Etihad 777-300ER in 2012.

“Sustainable aviation fuels are proven and work in airplanes flying today and those that will fly tomorrow, but there’s a very limited supply,” said Sheila Remes, Boeing’s VP Strategy. “World Energy is making commercial-scale volumes of sustainable fuel at competitive prices, leveraging government low-carbon incentives to accelerate production and use in an industry that relies on liquid fuels.”

Created in 2010, the Sustainable Bioenergy Research Consortium (SBRC) is piloting a unique desert ecosystem to produce SAF from plants that grow in the desert and are irrigated by coastal seawater. Etihad used the initial batch of fuel in January 2019 on a passenger flight from Abu Dhabi to Amsterdam.

The series of eight SAFI-UAE webinars (available for viewing here) hosted by Khalifa University and moderated by Dr Alejandro Rios, Director of SBRC, concludes on September 30 with a focus on establishing a SAF industry in the UAE through a work programme and stakeholder collaboration.

Boeing’s ecoDemonstrator programme takes promising technologies out of the lab and tests them in the air to accelerate innovation. This year’s programme evaluated four projects to reduce emissions and noise and enhance the safety and health of passengers and crew. It included a collaboration with Safran over the noise caused by airflow over the landing gear of aircraft. The partners have designed fairings around the landing gear to smooth out the turbulence to reduce noise levels by what Boeing describes as a significant amount.

Another project with NASA involved the investigation of how sound interacts with aircraft using special onboard acoustic sensors that detect small variations of sound while the aircraft is flying. The sound is then measured both on the aircraft and also on the ground using a thousand microphones in special patterns.

“This test is going to give us the best information on this aspect of aircraft noise that we’ve been able to achieve in flight,” said Russell Thomas, a senior research engineer at NASA Langley Research Center. “Out of that, we will be able to create what we think is a new avenue of noise reduction technologies and approaches. It really allows us to go one step further in developing new ideas and concepts for future aircraft that will be even quieter for the communities.”

Photo: Boeing