- Mandated SAF more expensive than voluntarily purchased SAF
Michael O’Leary of Ryanair is indicating that SAF pricing structures require examination during the Airlines for Europe briefing in Brussels. SAF that is part of the mandate is more expensive than SAF bought voluntarily. Price differences exist between mandated and voluntary SAF purchases.
O’Leary shared that the price difference was not expected to relate purely to high energy costs. He shared that questions about SAF pricing had been asked since June without receiving answers. The market structure and transparency required examination.
Michael O’Leary shared: I think it’s an issue of how we’ve structured this market and how transparent this market is. So apparently when I speak to individual airlines and that’s not something we can discuss here, but I can tell you from my various conversations that SAF that is part of the mandate is more expensive than staff that you buy voluntarily. Okay? So there’s clearly a price difference and when you purchase SAF as part of the mandate, basically you’re buying jet fuel, right? Blended with 2pc staff. That’s the law today. uh and it seems that in that blend and in that mix you can allow yourself to also increase the staff price but I I would not uh uh expect it’s related to the high I mean I I’ve asked actually that question is it really the high energy cost and I’ve not received an answer yet I’ve been asking since June so maybe you can ask with me and then we’ll find out
