Commission approves a Danish scheme to promote sustainable aviation fuel
The Commission has approved, under Article 107(3)(c) TFEU and the CEEAG, a EUR 36 million (DKK 268 million) Danish scheme aimed at reducing greenhouse gas emissions from domestic aviation by encouraging the use of sustainable aviation fuel (“SAF”). This is the first State aid scheme approved at EU level to promote SAF.
The scheme, in force until 31 December 2027, is designed to incentivise airlines operating in Denmark to use SAF on domestic routes. It seeks to support at least one route operating with a 40% SAF blend—close to the current technical maximum of 50%—and to guarantee at least 20 weekly one‑way operations. This exceeds the minimum 2% SAF requirement laid down in the ReFuelEU Aviation Regulation. Aid will take the form of monthly direct grants covering the additional costs of SAF compared to conventional kerosene, including relevant airport infrastructure expenses. Support levels will be set through a competitive bidding process to ensure cost‑effectiveness and proportionality.
The non-confidential version of the decision will be published under case number SA.102732.
For more information, see the Commission’s PR.