Fueling America’s Future with Sustainable Aviation Fuel

By Meg Whitty, Vice President of Corporate Affairs, LanzaJet

The United States is an incredible country in so many ways, not least of which is our vast energy resources. We are currently on the verge of another energy revolution – this one is in the skies – and Iowa is at the center of it. Sustainable Aviation Fuel, most commonly referred to as ​“SAF” is, in every sense of the word, taking off. But if the U.S. does not act fast, we risk ceding ground and vital rural economic development to global competitors and adversaries.

SAF is a next-generation fuel that was born from American innovation and can be produced from low carbon intensity ethanol. Over the next five years, the SAF industry is estimated to reach $20B in value with a compound annual growth rate of 61%. It has the potential to strengthen rural economies and increase energy security; it is compatible with today’s aircraft and infrastructure; and finally, it offers a new market opportunity with demand equal to 21 billion gallons a year in the U.S. and 100 billion gallons a year globally – and Iowa is poised to lead the way. 

One of the most promising technologies that exists to produce SAF today is ethanol-to-jet – where existing technologies are hitting capacity limits, ethanol-to-jet is best poised to scale to meet global demand, because of today’s existing supply of ethanol. And that all starts here at home. Iowa produces more ethanol than any state in the U.S. (4 billion gallons per year with the capacity for more) and the U.S. produces more ethanol than any other nation on earth (16 billion gallons per year). If Iowa’s ethanol producers can take advantage of the accretive value opportunity with SAF, in addition to road transport, they will secure their place at the heart of America’s energy – and their own economic – future. 

There is a significant hurdle we need to clear to make this a reality. This nascent industry is competing with an 80-year-old, entrenched fossil jet fuel industry that carries its own incentives and needs help to get off the ground (yes, pun intended). Today, federal incentives don’t do enough to bring down the cost of building these first-of-a-kind facilities, and protracted political battles are putting America’s energy future in peril. 

This must change because the rest of the world is moving forward – and fast. China, Southeast Asian, and European nations are scaling their SAF industries with robust government support, putting American producers at a competitive disadvantage, risking the loss of jobs, investment, and rural economic development. Without decisive action, the U.S. risks falling behind in aviation innovation and forfeiting its chance to achieve true energy security in a competitive global market.

The Trump Administration and Congress have a historic opportunity to lead this energy revolution by enacting policies that expand SAF production, distribution, and consumption across the nation. This starts with long-term incentives that give producers and investors the confidence to scale operations domestically, supported by a policies that encourage innovation. Equally critical is a focus on infrastructure – building the supply chains, production facilities, and distribution networks needed to deliver SAF at scale. Without these foundational pillars, we risk allowing the breakthroughs of today to benefit our competitors tomorrow. 

Further, Iowa and Governor Reynolds have an opportunity to follow other states’ leads and create state-level incentives for SAF producers to build these plants right here in our home state. I am glad to see that a bill that includes a provision for a SAF production tax credit program was introduced in the Iowa legislature earlier this month. We must continue to do more. Our neighboring states like Nebraska, Minnesota, and Illinois have already established meaningful investment tax credits, purchaser’s tax credits, and production tax credits that go a long way when companies like mine determine where to build these multi-billion-dollar economic engines. 

At Freedom Pines Fuels, LanzaJet’s commercial demonstration production facility in Soperton, Georgia – a town of around 3,000 people – the local economy is projected to see a $5 million boost in wages and benefits and more than $70 million in annual economic activity just from our facility. This is just one example of how SAF can revitalize rural communities while strengthening America’s energy independence by reducing reliance on foreign oil.

At a time when agriculture is at a crossroads, where rural communities are losing jobs, investments, hospitals, and schools, we have an incredible opportunity to seize a growing industry that is creating new high-value, next generation jobs that will bring back young families and a renewed investment in the rural towns that are the core of the innovation and ingenuity of the Midwest, of Iowa. 

SAF is not just a hedge against an uncertain future for ethanol producers, it’s a catalyst for revitalizing rural communities and strengthening America’s energy independence.

Twenty years ago, a bold policy decision – the Renewable Fuel Standard – revitalized rural America, breathing new life into agriculture and small towns across the country. By creating a guaranteed market for biofuels like ethanol, it spurred investment in infrastructure, drove demand for American-grown crops, and generated economic opportunities in communities that had been struggling. Today, policymakers face a similar opportunity with SAF – if we seize the moment. With targeted support, SAF can become the next great American success story, securing energy independence, revitalizing rural economies, and cementing our leadership in global aviation.

The U.S. cannot afford to lag on SAF. Our elected officials have a generational opportunity to lead the next energy revolution. By enacting forward-thinking policies and committing to the growth of fuels like SAF, we can secure a future where we rely on our farmers and workers instead of foreign producers, where small towns thrive with new jobs, and where American-made fuel powers the planes that connect our country. This is the moment to act and to show the world what American ingenuity can achieve. Because, the reality is, SAF doesn’t just stand for Sustainable Aviation Fuel, it also stands for Secure American Fuel.