Growth Frontiers London: Low cost carriers impacted most by sustainability mandates

Panellists discussing sustainability linked loans at Airline Economics’ Growth Frontiers London 2024 said low cost carriers will be heavily impacted by incoming sustainability measures. Mandates such as emissions reductions and regulations, as well as sustainable aviation fuel (SAF) will weigh heavily on these carriers. One panellist said creditors should “open up its scope” to include other functional items such as how the pilot operates the aircraft, what kind of policies are implemented, engine taxi, or software implementations to increase efficiency or trade-off. Panellists also noted that SAF funding has proven difficult – particularly in Asia with not enough feedstock and