The ALTA FUEL & ENVIRONMENT CONFERENCE 2023 will address the most pressing industry issues

Over 150 industry executives specializing in fuels and environment bring together in Costa Rica

March 29, 2023

San José, March 29, 2023 – Addressing the impact of high aviation fuel prices, an input that currently represents 50% of the cost structure of airlines, in addition to encouraging clear, efficient and sustainable regulations for the deployment of SAF is among the topics to be discussed at the ALTA FUEL & ENVIRONMENT CONFERENCE 2023, an event to be held in San José, Costa Rica, on March 29 and 30.

 

The headquarters of the Inter-American Institute for Cooperation on Agriculture (IICA), a body member of the Organization of American States (OAS), will be the venue for this two-day conference, which will bring together over 150 industry executives specializing in fuels and environment, who will share academic presentations, panel discussions and working groups.

 

The opening ceremony will be attended by Juan Manuel Quesada, President of Refinadora Costarricense de Petróleo (RECOPE), Fernando Naranjo, Head of the General Directorate for Civil Aviation (DGAC), Manuel Otero, General Director of the Inter-American Institute for Cooperation on Agriculture (IICA), as well as Alberto López, General Director of the Costa Rican Tourism Institute (ICT) and José Ricardo Botelho, Executive Director & CEO of the Latin American and Caribbean Air Transport Association (ALTA).

 

ALTA's CEO highlights the importance of being in Costa Rica for this first edition of the event: "Costa Rica is a world leader for its environmental policies and achievements, which have allowed the country to build its Green Brand. Currently, it is the only tropical country in the world that has reversed deforestation, according to the World Bank. However, this beautiful nation, like other countries in Latin America and Caribbean, is not immune to the inflationary context and turbulences that impact most economic activities. Being diligent in the pursuit of competitiveness, now more than ever, is a pressing task, especially if we want to achieve our goal of making aviation a carbon neutral industry by 2050 and reverse climate change, which is the biggest threat we face with a potential impact even greater than the pandemic, because it threatens the long-term sustainability of this industry."

 

ALTA's CEO stresses that one of the most pressing needs of Latin America and Caribbean (LAC) is to provide transparent, clear and efficient public policies, which should be standardized and harmonized to attract more investors and take advantage of the great potential of the region to produce and supply SAF to the local industry and even export biofuels to other latitudes.

 

"Our region has all the necessary raw materials to lead this production on the planet. Our industry, while responsible for only 2.5% of emissions, is 100% involved and committed to finding solutions. Engines change, efficiency increases, each of ALTA's members study better operating conditions, carbon off set, circular economy and so many other things", the CEO expresses.

 

Fostering the right regulatory environment will allow the deployment of SAF production and distribution in the region and, consequently, face the second major challenge: costs.

 

"To achieve the NETZERO goal, aviation must source a range of measures, roughly 65% of which corresponds to the extensive use of sustainable fuels. But we face a major challenge: costs. According to S&P Global Commodity Insights, on March 20, 2023 SAF was 2.3 times more expensive than regular fuel. This differential has been reduced. In 2021, SAF was 3.3 times more expensive than regular fuel and, as developments continue to incentivize its large-scale production of SAF, we expect to see further reductions in unit prices. By 2050, the industry will require an annual production of 449 billion liters to supply itself."

 

 

“Additional costs cannot fall on the industry that continues to be hit by the effects of the pandemic and that has made extraordinary efforts to maintain an essential service without financial support. Therefore, achieving environmental objectives is and will continue to be everyone's job, industry, governments and users”, points out Botelho.

 

Among the topics on the agenda for the ALTA FUEL & ENVIRONMENT CONFERENCE 2023 will be a comprehensive presentation on SAF public policy and investment opportunities, a panel on SAF public policy and investment opportunities in the region, as well as a presentation on the sustainable aviation value chain ecosystem in Costa Rica and passenger compensation alternatives, the use and implementation of new technologies, and an update on the aviation fuel market.