Flag carrier Norwegian Air has announced a "landmark partnership" with Norsk e-Fuel that will see the companies build the world’s "first full scale e-fuel plant".
The sustainable aviation fuel (SAF) plant will be at Mosjoen in Norway and once up and running would help Norwegian pass an "important milestone" en route to its target of a 45% cut in emissions by 2030.
"The partnership will contribute to speeding up the production and availability of SAF in favour of a more sustainable aviation industry", Norwegian said in its April 24 statement about the deal, which is to be finalised later in 2023 with the goal of production starting in 2026.
The carrier said it aims to get 20% of its SAF from the plant by 2030, which it added would "positively impact the European aviation industry’s goal of net zero CO2 emissions by 2050".
“The partnership with Norsk e-Fuel is a landmark agreement for Norwegian, but also a milestone for aviation in Norway. It helps us move closer to the promise we have given our customers,” said Geir Karlsen, chief executive of Norwegian, which is investing 50 million krone (US$ 4.72 million) for a minority stake in the business.
“Sustainable aviation fuels need to become both more available and less expensive. To make this a reality, the aviation industry depends on collaborating with public authorities to close the price gap between fossil fuels and e-fuels, Karlsen added.
The same day, Norway and the European Union separately announced they had formed a "Green Alliance" aimed at "cooperation on climate, environment, energy and clean industry".
Among the items listed on the alliance's to-do list was "decarbonising the transport sector across all modes of transport".