Commission unveils €3bn plan to scale up green fuels for aviation and maritime transport

The European Commission has announced a €2.9 billion plan to boost investments in sustainable fuels for aviation and maritime transport by 2027, aiming to curb carbon dioxide emissions from these sectors, which together account for 26.4% of EU transport emissions. The move comes as the EU struggles to meet its climate-neutrality goal by 2050, with commercial planes and ships remaining largely dependent on fossil fuels despite existing legislation.

Commissioner for Sustainable Transport Apostolos Tzitzikostas said the plan strengthens Europe’s competitiveness while advancing a net-zero future, making the transport system cleaner, more resilient, and more affordable. The Commission estimates that around 20 million tonnes of sustainable fuels, including biofuels and e-fuels, will be needed by 2035, requiring an estimated €100 billion in investment.

The new funding will come from the EU’s multiannual budget running to 2027. Under EU law, maritime emissions must fall 2% by 2025 versus 2020 levels, with an 80% reduction in GHG intensity targeted by 2050. Aviation must supply 20% sustainable aviation fuel (SAF) by 2035, including 5% e-SAF, with a 2050 target of 70% green fuels, half of which must be e-SAF. Industry groups stress that mandates alone are insufficient, and cost reductions are critical to ensure air travel remains accessible while supporting European airline competitiveness.