American Airlines and technology giant Google have signed an agreement that they said will unlock approximately 35 million gallons of sustainable aviation fuel (SAF) over the next three years.
The partners said the SAF financed by the deal will cut nearly 300,000 metric tons of carbon dioxide-equivalent emissions.
Under the agreement, American will purchase and take delivery of SAF at Chicago O’Hare. The fuel will be derived from waste feedstocks, such as used cooking oil. Chicago was chosen in part because of Illinois’ recently enacted SAF tax credit.
Google said it will receive the environmental benefits of the deal through SAF certificates that help offset emissions from employee business travel.
SAF can reduce aircraft emissions by up to 80%, but because it remains scarce and relatively expensive, carriers and private aviation companies frequently solicit donations from customers and partnerships from companies to support SAF purchases and integration.
American and Google said their agreement is the largest ever publicly announced SAF deal between an airline and a single corporate customer.
“Our industry-leading agreement with Google is a critical step forward in reducing emissions from our operations,” American Chief Sustainability Officer Jill Blickstein said in a news release. “By working with leaders like Google who share our commitment to innovation, we’re helping to grow demand for SAF and support the development of a stronger, more resilient market.”
