How a new Netherlands facility will boost Sustainable Aviation Fuel supply.

ByUjjwal Sukhwani•January 14, 2026 at 06:35 AM•3 min read

How a new Netherlands facility will boost Sustainable Aviation Fuel supply.

A major Sustainable Aviation Fuel (SAF) production facility in the Netherlands is now operational, converting waste biomass to jet fuel to advance aviation decarbonization efforts.

Key Points

1New Neste facility in Rotterdam adds 500,000 tonnes of annual Sustainable Aviation Fuel (SAF) production capacity.
2The facility converts waste and residue raw materials, a form of waste biomass, into 'drop-in ready' jet fuel.
3The added capacity is crucial for meeting the European Union's ReFuelEU Aviation mandate, which requires a 6% SAF blend by 2030.
4SAF remains 3-10 times more expensive than conventional jet fuel, highlighting the need for further scaling and investment.

The global supply of Sustainable Aviation Fuel (SAF) has received a major boost. A significant SAF production facility in the Netherlands is now fully operational. This facility converts waste and residue raw materials, a form of waste biomass conversion, into a viable jet fuel alternative. The move is critical for reducing carbon footprint across the air travel sector.

Key Production Details

Neste, a leading producer, has modified its Rotterdam refinery. This Netherlands SAF plant can now produce up to 500,000 tonnes of SAF annually. The Rotterdam site is a major hub for renewable fuel production. This expansion significantly increases Neste’s global SAF capability. The fuel is considered “drop-in ready.” This means it requires no changes to existing aircraft or airport infrastructure.

Sustainable aviation fuel can reduce lifecycle greenhouse gas emissions. This reduction is up to 80% compared to conventional jet fuel.

Meeting European Mandates

The new Rotterdam refinery capacity is vital for meeting European targets. The European Union's ReFuelEU Aviation Regulation sets mandatory blending quotas. Fuel suppliers at EU airports must blend at least 2% SAF starting in 2025. This minimum share increases to 6% by 2030. By 2050, the mandate requires 70% of all jet fuel to be SAF.

This regulation is a key driver for SAF production facility investment. The European Union Aviation Safety Agency (EASA) oversees the safety standards. The new capacity helps the industry comply with these strict EU SAF mandates.

Industry Impact and Challenges

Scaling up sustainable aviation fuel production remains challenging. SAF prices are currently much higher than fossil kerosene. Reports indicate SAF can be three to ten times more expensive. However, the mandates create long-term demand. This is expected to help drive production costs down over time.

Major manufacturers like Airbus support this growth. They view SAF as the most immediate path to aviation decarbonization efforts. Airlines are also investing in long-term purchase agreements. This secures future supply and manages the cost risk. The industry must quickly ramp up production. This is necessary to meet the ambitious 2030 and 2050 goals. The new Neste facility is a critical step forward. It provides much-needed supply for commercial aviation news and operations. More updates on this sector can be found on flying.flights.

The new SAF production facility in Rotterdam adds up to 500,000 tonnes of annual capacity.
The European Union's ReFuelEU Aviation Regulation mandates a 2% SAF blend by 2025.
SAF made from waste biomass conversion can reduce lifecycle emissions by up to 80%.