Why TotalEnergies' CEO Blames Airlines for Europe's Green Fuel Crisis

The head of oil major TotalEnergies has openly criticized the airline industry. CEO Patrick Pouyanné accused airlines of lobbying against European green fuel mandates.

He warned that Europe’s ambitious climate goals for aviation are now at risk. Pouyanné made his comments at the World Economic Forum in Davos, Switzerland.

The Cost Barrier to Sustainable Fuel

The central conflict is the high price of Sustainable Aviation Fuel (SAF). SAF is a key tool for aviation to reach its net-zero carbon targets. However, producing SAF is significantly more expensive than traditional jet fuel.

Pouyanné stated that SAF can cost up to four times more than its fossil fuel equivalent. He argued that "Nobody wants to pay a premium to be green."

He said airlines are demanding biofuel for the same price as oil. This unwillingness to pay the higher cost is a major roadblock. Airlines, in turn, have accused fuel producers of not investing enough. Pouyanné called this accusation "completely wrong."

Threat to EU Green Mandates

The dispute centers on the European Union's landmark ReFuelEU Aviation regulation. This mandate requires fuel suppliers at EU airports to provide a minimum share of SAF. The rule starts with a 2% blend in 2025.

The required share is set to jump significantly to 6% by 2030. It will then climb to 70% by 2050. Pouyanné claimed that "all the airline companies are fighting" the 6% target.

Investment Uncertainty

The CEO warned that policy uncertainty is causing TotalEnergies to reduce its planned SAF investments. He fears that the EU will "water down" the mandate. This would be similar to the bloc's recent softening on car emission regulations.

He stated that investing in new biorefineries becomes questionable. If targets are moved, the investment could be for nothing. Pouyanné noted that the company could provide 10% SAF by 2030, exceeding the mandate. However, this depends on policy certainty and market demand.

Impact on Aviation Decarbonization

This public feud highlights a major challenge for aviation decarbonization goals. Airlines rely heavily on SAF to reduce their carbon footprint. The International Air Transport Association (IATA) is a strong proponent of SAF.

• The high cost of sustainable aviation fuel threatens airline profitability.
• Policy uncertainty slows vital SAF production investment from energy companies.
• The ReFuelEU Aviation mandate faces resistance, potentially delaying climate targets.

Experts agree that without clear regulatory signals, the market for green jet fuel will not grow fast enough. The debate is now a critical test for Europe’s climate policy. It shows the difficulty of balancing environmental goals with economic realities.

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