Starting in 2027, all international flights departing from Korea must blend sustainable aviation fuel (SAF). The government plans to expand the blending mandate ratio from 1% next year to 3–5% in 2030 and 7–10% in 2035.
The Ministry of Trade, Industry and Energy and the Ministry of Land, Infrastructure and Transport jointly announced the "SAF blending mandate roadmap" on the 19th at the Korea Institute of Registered Architects in Seocho-gu, Seoul, and officially launched the "SAF Alliance." Refiners, airlines, and related institutions also attended together.
The government set the SAF blending mandate ratio at 1% starting in 2027. It plans to raise it to 3–5% in 2030 and 7–10% in 2035. However, it will make a final decision after comprehensively considering domestic production capacity, overseas mandate levels, and global market conditions.
Under the 2027 SAF blending mandate ratio, the obligated suppliers are jet fuel suppliers, namely petroleum refiners and petroleum importers/exporters. Compliance will be recognized based on the annual domestic SAF supply volume relative to the annual international jet fuel supply volume at domestic airports.
A flexibility mechanism will also be introduced to allow up to 20% of the total compliance volume to be carried over for up to three years. The government also plans to review an adjustment system that could lower the mandate ratio if unavoidable reasons, such as natural disasters, are recognized.
Fuel that achieves the level of carbon reduction required by international standards (ICAO) will be recognized as SAF, and after 2030 the government plans to consider applying weighting for feedstocks with higher carbon reduction rates. In addition, it will establish quality standards for bio-jet fuel by the first half of next year.
All international flights departing from domestic airports must refuel at least 90% of their annual fuel volume at the departure airport. However, the rule will be applied starting in 2028 after building and piloting a performance management system for the refueling obligation and forming international consensus. Imposition of a penalty surcharge for noncompliance with the refueling obligation will be deferred for one year.
When the refueling obligation system is introduced, its application to new airlines will be deferred for three years. If the mandated refueling volume is not met for safety reasons or other unavoidable causes, the obligation will not apply.
The Ministry of Trade, Industry and Energy will continue to support R&D and facility investment tax credit for bio-based SAF, which has been designated as a national strategic technology. It also decided to consider incentives for next-generation production technologies.
Along with this, the government will review support for new investments through policy finance and push to designate key SAF feedstocks as economic security items to support facility investment and raw material purchase funds.
To utilize byproducts such as biodiesel and bio-naphtha generated in the process of producing SAF, the government plans to request system improvements to allow mutual compatibility of international certification standards at the 42nd ICAO Assembly, to be held in Montreal, Canada, from the 23rd to Oct. 3.
Corporations that actively adopt SAF will receive various incentives. First, for national airlines that refuel and operate beyond the SAF blending mandate ratio, the government will expand the award of extra points when allocating international air traffic rights.
For international flights that refuel with blended SAF, the government will pursue a plan to support airport facility fee reductions in the form of direct subsidies. If passengers voluntarily pay a SAF contribution in addition to the fare, airlines will provide convenience services such as lounge access and preferred seat assignment and will develop various measures such as offering SAF-related souvenirs.
Lee Won-ju, director general for energy policy at the Ministry of Trade, Industry and Energy, said, "The introduction of the SAF blending mandate is an important institutional foundation that simultaneously responds to the climate crisis and provides a safeguard for the future of Korea's top competitiveness in jet fuel exports," adding, "The government will swiftly expand SAF production capacity through public-private cooperation and actively support securing a lead in the global market."