Presented to: By: Date: Federal Aviation Administration Sustainable Alternative Jet Fuels Development Overview APEC/Brisbane Vicki Harrison June 12, 2011

2 Federal Aviation Administration Is aviation the future for biofuels? “Over the long run, the future for biofuels may be looking up” The Economist - October 28, 2010 ( Image: The Economist

3 Federal Aviation Administration Why Sustainable Alternative Jet Fuels? Approach How progress is made Certification/Qualification Global coalitions / projects Outline

4 Federal Aviation Administration Industry Economics Why Aviation needs biofuels… AIR QUALITY ENERGY Aviation Environmental goals 2% per year efficiency improvement Reduce health impacts of aviation CO 2 neutral growth by 2020 from 2005 GLOBAL CLIMATE Energy Security

5 Federal Aviation Administration - Long-term Market Depend on liquid fuels Demand far exceeds supply Bulk purchasing agreements - Approval of all possible pathways Why biofuels need commercial aviation… - Rapid deployment Existing infrastructure for drop in biofuels 80% fuel to 35 locations - Need environmental sustainability - Well-coordinated partner

6 Federal Aviation Administration FAA Approach Advance use of “drop-in” renewable alternative fuels No compromise in safety Use of public-private partnerships Successful demonstration Quantification of environmental impacts, costs and benefits Bio feedstock Processing Jet fuel

7 Federal Aviation Administration Commercial Aviation Alternative Fuels Initiative (CAAFI) Promote commercialization of alternative jet fuels Enable information exchange and coordination among stakeholders Voluntary participation Formed in 2006 How Progress Is Made: Public-Private Partnerships Continuous Lower Energy, Emissions and Noise (CLEEN) Mature and demonstrate promising renewable alternative jet fuels 50% cost share with industry: Boeing, Honeywell, Rolls- Royce Initiated in 2010

8 Federal Aviation Administration 8 Commercial Aviation Alternative Fuels Initiative (CAAFI)

9 Federal Aviation Administration GHG LCA, PM2.5 Quantification, Sustainability R&D Team Environmental Team Certification- Qualification Team Multiple “Drop- in” Solutions ASTM D7566 Facilitate Deployment, Investment Business & Economics Team CAAFI Comprehensive Approach Government-Industry-Academia Coalition Addresses challenges to adoption

10 Federal Aviation Administration ASTM D7566 Specification Certification/Qualification of Alternative Fuels Industry/Govt. Testing and Approval Governed by ASTM International New synthetic fuel specification approved Sept Qualification procedure is defined & allows addition of new fuels FAA and DoD are key government contributors For further information: Mark Rumizen (FAA),

Global Coalitions / Projects SWAFEA / AlfaBird ABRABA Altair (WA) Rentech (MS and CA) Gevo (IL) - Multiple U.S. Airlines Shell - Qatar Airways Byogy - Qatar Airways Solena - British Airways Neste - Lufthansa Amyris - Azul BP Air - TAM Solena - Qantas Solazyme - Qantas U.S. Producers in current deployment efforts

12 Federal Aviation Administration CAAFI - Air Transport Association – FAA Office of Environment & Energy - / Discussion / Questions