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SAF needs certainty for the market to fully develop

The head of Clean Fuels Alliance America says establishing market certainty is crucial to the future development of sustainable aviation fuels. Donnell Rehagen says the industry is still in its infancy. “This is really where that industry needs some strong signals of longevity and expectations from the government,” he says. 

He tells Brownfield the lack of clarity with some of the tax credits, like 45Z, has resulted in an idling of production, and the renewable fuels industry is taking steps to provide a clear path moving forward. “Sitting down with members of Congress, leaders in Congress, but also the administration, and letting them know what the problems are with the 45-Z guidance that we have and how 45-Z can be made better,” he says.  “We think there’s going to be an opportunity for some improvements to be made with this.  That’s what we’re after.”

Rehagen says the demand for SAF from the airline industry is there, but it’s going to take more than that for the industry to fully develop. “Longevity of a program in the form of a tax credit program is what it’s really going to take to make it make sense to make those investments,” he says.  Depending on the size and technology used, he says it costs billions of dollars to get a new sustainable aviation fuels plant up and running.

Brownfield interviewed Rehagen during the 2025 Commodity Classic in Denver, Colorado.

AUDIO: Donnell Rehagen, Clean Fuels Alliance America