American Airlines and Google have announced what they describe as the largest publicly disclosed sustainable aviation fuel certificate (SAFc) agreement between an airline and a single corporate customer to date.
The deal covers 35 million gallons of sustainable aviation fuel (SAF) over three years and is expected to deliver nearly 300,000 metric tons of CO2e emissions reductions.
Under the agreement, American Airlines will purchase and use physical SAF at Chicago O’Hare International Airport through existing fuel infrastructure.
The fuel will be produced from waste-based feedstocks, including used cooking oil, while Google will claim the associated environmental benefits through the SAFc Registry’s book-and-claim system to help address emissions from employee business travel.
American said the long-term commitment enabled it to secure a new SAF offtake agreement with Valero Marketing and Supply Company, providing additional support for the development of the SAF market.
Supporting SAF market growth
The companies said the agreement is intended to send a strong demand signal to fuel producers and investors, helping accelerate SAF deployment at a time when aviation faces growing pressure to reduce emissions.
SAF can reduce lifecycle greenhouse gas emissions by up to 80% compared with conventional jet fuel and is widely viewed as one of the most promising pathways for decarbonizing the aviation sector. However, production volumes remain limited and costs remain significantly higher than those of fossil-based fuels.
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American Airlines noted that the agreement was made possible in part by Illinois’ sustainable aviation fuel tax credit, which has helped attract SAF supply to the state and strengthen Chicago’s position as a key aviation hub.
“Illinois is proud to be at the forefront of the clean energy industry. This agreement demonstrates how our nation-leading SAF tax credit can bring industry leaders together as we work toward a more sustainable future,” said Illinois Governor JB Pritzker.
In addition to SAF initiatives, the airline recently partnered with Google and other organizations on a contrail avoidance trial that achieved a reported 62% reduction in contrail formation, highlighting broader efforts to reduce aviation’s climate impact.
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