Google is stepping up its climate strategy with a deeper commitment to sustainable aviation fuel (SAF). In a new long-term agreement with American Express Global Business Travel and Shell Aviation, the tech giant will source SAF environmental attribute data through the Avelia registry.

This move highlights a bigger trend. Corporations are no longer just offsetting emissions—they are actively shaping clean fuel markets. For Google, SAF is becoming a critical tool to cut emissions from business travel, one of the hardest sectors to decarbonize.

Vrushali Gaud, Global Director of Climate Operations, Google, said:

“Sustainable aviation fuel represents a critical unlock for decarbonizing the hard-to-abate aviation sector and we recognize the importance of long-term agreements to increase demand and expand its availability. We view this as a key opportunity to support the broader ecosystem through this book and claim effort, while making progress towards reducing our own aviation emissions.”

How “Book and Claim” Is Changing the Future of Aviation Fuel

SAF offers a clear advantage. It can reduce lifecycle greenhouse gas emissions by up to 80% compared to traditional jet fuel. That makes it one of the most promising solutions for aviation, a sector with limited low-carbon alternatives.

Google’s participation in the Avelia platform shows how corporate demand can drive supply. Avelia uses a “book and claim” system, allowing companies to claim emissions reductions even if SAF is not physically used on their specific flight. Instead, SAF is added elsewhere in the fuel network, and the environmental benefits are tracked digitally using blockchain.

This system solves a major problem—limited fuel availability. SAF supply is still concentrated in a few locations, while demand is global. By separating physical fuel use from emissions accounting, Avelia expands access and encourages broader adoption.

The platform has already made measurable progress:

• Over 64 million gallons of SAF have been supplied globally
• More than 590,000 tonnes of CO₂ emissions avoided
• Participation from 66 companies and airlines

These numbers signal growing momentum. More importantly, they show how digital infrastructure can accelerate climate solutions in traditional industries.

• ALSO READ: DHL Signs Major SAF Deal with Neste Ahead of New EU Rules 

Beyond Flights: Google’s Broader Transport Strategy to Achieve Carbon-Neutral by 2030

Google’s SAF investment is only one part of a larger plan to cut transport emissions. The company is actively reducing the carbon footprint of both employee commuting and logistics.

Low-Carbon Commutes with EVs 

It promotes low-carbon commuting by offering shuttle services, encouraging carpooling, and supporting public transit, cycling, and walking. At its campuses, Google is also investing heavily in electric mobility. By 2024, it had installed over 6,000 EV charging ports across the U.S. and Canada. In India, electric vehicles already make up nearly a quarter of its internal commuter fleet.

At the same time, Google is investing directly in SAF production. In 2024, it joined the United Airlines Ventures Sustainable Flight Fund, a $200+ million initiative supporting next-generation fuel technologies. The fund backs companies like Viridos and Svante, which are working on advanced fuel and carbon capture solutions.

Google is also a member of the Sustainable Aviation Buyers Alliance, further strengthening its role in shaping demand for cleaner aviation fuels.

The Reality Check: SAF Growth Faces Real Barriers

Despite strong corporate interest, SAF still faces significant challenges. Global production is rising fast, but not fast enough.

Production increased 24 times since 2021 and is expected to reach around 713 million gallons by the end of 2025. However, this still represents less than 1% of total jet fuel demand.

Even more concerning, growth may slow in 2026. According to the International Air Transport Association (IATA), production is expected to rise only modestly, reaching about 2.4 million metric tons. At the same time, costs remain high—SAF can be two to five times more expensive than conventional fuel.

This price gap creates a major burden for airlines. In 2025 alone, SAF-related costs could reach $3.6 billion globally. Without stronger policy support, scaling production will remain difficult.

Policy and Market Shifts: A Fragmented Landscape

Policy support plays a crucial role in SAF growth, but global approaches remain uneven.

In the U.S., incentives are weakening. The Clean Fuel Production Tax Credit (45Z) will drop significantly in 2026, reducing financial support for SAF producers. This could slow investment and limit supply growth.

In contrast, Europe is pushing ahead. The ReFuelEU Aviation mandate requires a 2% SAF blend, while countries in Asia, including Singapore and Thailand, are introducing their own mandates starting in 2026.

This divergence creates uncertainty. Companies and producers must navigate different regulations across regions, making long-term planning more complex.

The Feedstock Challenge: The Biggest Bottleneck

Analysts say technology is not the main constraint for SAF—feedstock is.

SAF relies on low-carbon raw materials such as waste oils, agricultural residues, and synthetic fuels. These resources are limited and already in demand from other sectors like renewable diesel and bioenergy.

As competition intensifies, sustainability standards are also becoming stricter. Producers must prove that their feedstocks are traceable and truly low-carbon. This means rapid expansion is unlikely in the short term. Instead, companies are expected to focus on gradual capacity growth and flexible production strategies.

Considering all the above factors, 2026 will not deliver a breakthrough but it will test the foundation of the SAF market. Three factors will define progress:

• Policy credibility: Governments must provide stable, long-term incentives
• Feedstock strategy: Companies need reliable and sustainable supply chains
• Procurement innovation: Airlines and corporations must adopt smarter purchasing models

Momentum is building, but it remains selective. Only companies that align these elements will succeed as the market evolves.

Looking Ahead: Strong Demand Signals for 2030 and Beyond

Despite the challenges, SkyNRG’s SAF Market Outlook gives optimistic long-term projections. It highlights that the demand could reach 15.5 million metric tons by 2030 under current trends.

By 2050, SAF could supply up to 16% of global aviation fuel demand. It is equivalent to roughly 72 million tonnes (24 billion gallons)—even without the introduction of new policy measures.

These numbers highlight one key point: demand is not the problem. The challenge lies in scaling supply efficiently and affordably. Nonetheless, sustainable aviation fuel holds real promise. It offers one of the few viable paths to reduce emissions in aviation without redesigning aircraft.

Google’s latest move shows how large corporations can accelerate this transition. But the road ahead remains complex. High costs, limited supply, and policy uncertainty continue to slow progress.

The bottom line is clear: SAF is not scaling overnight. But with the right mix of corporate demand, policy support, and innovation, it could become a cornerstone of clean aviation in the decades ahead.

• ALSO READ: Greening the Aviation: Lufthansa and Airbus Team Up to Cut Business Travel Emissions Using SAF

The post Google Expands SAF Strategy with Amex GBT and Shell Aviation to Cut Aviation Emissions appeared first on Carbon Credits.

Canada has pledged nearly C$29 million ($21.6 million) to support carbon capture, utilization, and storage (CCUS) and renewable energy projects. The funding aims to back new technologies that reduce greenhouse gas emissions and make clean energy more competitive. This commitment was announced by the Canadian government in late March 2026 as part of ongoing efforts to meet climate goals.

The investment is small compared with Canada’s larger climate budget. But it signals continued federal support for emerging technologies and deployment of clean energy solutions. CCUS is one of several tools that nations are using to curb emissions while keeping energy supplies stable.

What Canada Is Funding? Inside the C$29M Clean Tech Bet

The C$29 million pledge covers a mix of CCUS and renewable energy efforts. It is intended for 12 projects that capture carbon dioxide (CO₂) from industrial emissions. It also supports systems that convert captured CO₂ into usable products or store it underground so it cannot enter the atmosphere.

The Honourable Tim Hodgson, Minister of Energy and Natural Resources, said:

“Canada is scaling up clean energy while strengthening our electricity grid and responsibly growing our conventional energy industry — because competitiveness means doing more than one thing at the same time. We are investing to provide reliable, affordable and clean power across the country that will propel our economic growth, protect affordability for Canadian families and make Canada a low-risk, low-cost, low-carbon energy superpower.”

Carbon capture refers to systems that trap CO₂ from power plants and factories before it is released. The captured gas can be stored deep underground or used in industrial processes, such as making building materials or fuels. Utilization means finding commercial uses for captured CO₂ so that it has economic as well as environmental value.

Renewable energy projects in Canada focus on expanding wind, solar, hydro, and other low‑carbon power sources. As of 2024, about 79 % of Canada’s electricity generation came from low‑carbon sources, with hydropower alone accounting for roughly 55 %. The rest comes from wind, solar, and nuclear energy.

Carbon Capture’s Strategic Role in Net Zero

Canada has a strong track record in CCUS deployment. Several large‑scale facilities already operate in the country, especially in Alberta and Saskatchewan. 

For example, the Quest Carbon Capture and Storage Project in Alberta captures about one million tonnes of CO₂ per year and stores it deep underground.

Canadian CCUS technology accounts for a notable share of planned global capacity. Canadian projects represent about 11.5 % of planned CCUS storage capacity worldwide.

Notably, Canada’s carbon capture capacity could increase from about 4.4 million tonnes of CO₂ per year to 16.3 million tonnes annually by 2030. However, much larger growth is still necessary to meet net-zero targets by 2050.

CCUS is considered critical for reducing emissions from hard‑to‑decarbonize sectors like heavy industry and oil and gas. It also plays an important role in achieving Canada’s long‑term climate targets, including net-zero emissions by 2050. In these scenarios, CCUS helps bridge gaps that electrification and renewables alone cannot fill.

Canada’s Energy Innovation Program (EIP) is designed to speed up the development of clean energy technologies while keeping the energy system reliable and affordable. It supports early-stage research and development in CCUS. 

The program also funds renewable energy demonstration projects that test new ways to generate and integrate clean power, especially those with local benefits. In addition, EIP promotes innovation in electricity systems by supporting new approaches to smart grid regulation and capacity building.

• RELATED: Svante Buys Carbon Alpha to Scale Canada’s Carbon Removal Hub

A Power Mix Already Going Green

Renewable energy is another core part of Canada’s climate strategy. Over the last decade, installed renewable capacity has grown steadily. Between 2014 and 2024, Canada’s total renewable energy capacity increased from about 89,773 MW to 110,470 MW.

The federal government has supported renewable projects through multiple funding programs. Earlier initiatives included a $964‑million investment targeting wind, solar, storage, hydro, and other renewable technologies.

Canada has also set decarbonization targets tied to renewables. The country aims for net‑zero electricity by 2035, which supports a broader economy‑wide goal of net‑zero greenhouse gas emissions by 2050.

CCUS and Renewables on a Global Rise

Investment in CCUS and renewable energy is rising globally. According to industry forecasts, the global clean energy market — including wind, solar, energy storage, and CCUS — is expected to continue strong growth through 2030 as countries push toward climate targets.

For CCUS specifically, analysts project that global installed capacity could grow fivefold by 2030 as more projects move from demonstration to full deployment. Canada is among several countries with mature CCUS infrastructure and planned expansions.

Renewables continue to be the fastest‑growing energy source globally. International agencies like the International Renewable Energy Agency (IRENA) project that renewable capacity will keep expanding rapidly through the end of the decade, driven by falling technology costs and climate commitments.

The Roadblocks to Scaling Clean Tech

While CCUS has potential, it also faces hurdles. Costs are high, and the technologies are still emerging at scale. Critics argue that CCUS has historically underperformed in some early projects, and that a significant amount of captured CO₂ is used in enhanced oil recovery rather than stored permanently.

Some stakeholders also warn that public funds for CCUS must be carefully targeted to avoid subsidizing continued fossil fuel use rather than meaningful emission cuts. Despite these concerns, many policymakers see CCUS as an essential component of climate strategy if Canada is to meet its 2030 and 2050 goals.

Renewable energy projects also face challenges, including grid integration, siting barriers, and supply chain constraints for equipment like turbines and solar panels. However, continued funding and clear policy signals tend to reduce these barriers over time as markets mature.

Cutting Emissions While Keeping Energy Stable

Canada’s C$29 million commitment fits into a broader pattern of public funding aimed at accelerating clean energy and decarbonization technologies. Larger federal efforts, such as the Net Zero Accelerator Initiative, provide billions of dollars over multiple years for clean tech, including CCUS deployment and industrial decarbonization.

The CCUS market is evolving from pilot projects to commercial opportunities. Meanwhile, renewable energy continues its growth as a mainstream power source. Together, these developments support Canada’s long‑term climate and economic goals.

As the global energy landscape changes, investments in both CCUS and renewables help reduce emissions, create jobs, and build resilience in a low‑carbon economy. Canada’s latest funding pledge reinforces its ongoing role in these key markets.

• READ MORE: Canada Approves First Uranium Mine in 20 Years as Tech Giants Eye Nuclear Fuel for AI Power

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