Argus e-SAF Production Costs
Overview
Argus publishes production costs for renewable hydrogen-based sustainable aviation fuels (e-SAF) in the Netherlands. Jet fuel suppliers in the EU are facing mandatory e-SAF quotas by 2030 under the ReFuelEU.
Aviation legislation but no commercial-scale e-SAF plants are operational in Europe. Developers face a raft of challenges, especially around securing long-term offtake agreements required to make their projects commercially viable.
Argus provides an independent assessment of what it costs to produce e-SAF in northwest Europe to help industry participants decide whether to make or buy, comply or accept penalties, and as a reference for offtake agreements.
Price assessment details
The Argus e-SAF production costs are modelled based on the Fischer-Tropsch pathway in the Netherlands for a plant with 15,095 t/yr of e-SAF capacity. They are based on Argus’ no-C hydrogen costs for the Netherlands calculated using electricity costs from power purchase agreements for solar and wind assets. The costs take into account revenues from by-products, specifically renewable diesel, renewable naphtha and steam.
How to access Argus e-SAF production costs
The Argus e-SAF production costs are published weekly in the Argus Hydrogen and Future Fuels service. The service also provides modelled production costs for hydrogen and ammonia alongside insightful news and analysis and a wide range of downloadable datasets.