1. Commercial Aviation Alternative Fuels Initiative November 18, 2013 Subtitle Nate Brown Alternative Jet Fuel Project Manager Federal Aviation Administration

2. 2 Why Do The Airlines Want Alternative Jet Fuels?  Airline Economics  Surging Fuel Expense Offsetting Labor Restructuring  Fuel Price Volatility a challenge to business  Fuel Supply Security  Reliance on Imported Oil  Disruptions to fuel supply (e.g. Hurrican Katrina)  Demand from Other Transportation Modes  Concern about Carbon Emissions  Industry and ICAO goals for Global market based measures  Regional GHG Emissions Trading Schemes Nate Brown, FAA/CAAFI – 18 November, 2013

3. 3 How Does Aviation Meet Its Targets? Technology, Fuels, Operations & Infrastructure airlines.org Ongoing Fleet Renewal / Technology Development ATC/NowGen/ Operational Improvements Renewable Fuels (lifecycle basis) Forecasted Emissions Growth Absent Reduction Measures Baseline CO 2 Emissions 2050 Carbon Neutral Growth and Reduction Timeline Notional Example Potential Role for Carbon Credits to Bridge Potential role for carbon credits Key Contributor

4. 4 How Do Renewable Fuels Offset Greenhouse Gases? GHGs Life Cycle Analyses (LCA) Petroleum-Derived Jet Fuel Bio-Derived Jet Fuel Nate Brown, FAA/CAAFI – 18 November, 2013

5. 5 How Is the Aviation Industry Supporting Alternative Jet Fuels? www.caafi.org An Aviation Industry Coalition Established to… Facilitate and Promote the Introduction of Alternative Aviation Fuels Nate Brown, FAA/CAAFI – 18 November, 2013

6. CAAFI Sponsors 6 Mark Rumizen, FAA/CAAFI - May 9, 2013

7. 300 Global Sponsor/Stakeholder Attendees 180 Different Organizations, 32 EXPO Participants 19 Countries / 5 Continents 20 Airlines, Military, Airport orgs. 30 U.S. Government Offices 15 U.S. States / State Univ’s 15 Aircraft, Engine, Subsystem OEM’s 54 fuel producers * Attendance at 2011 Annual General Meeting Who Participates in CAAFI? 7 Mark Rumizen, FAA/CAAFI - May 9, 2013

8. Life Cycle GHG, Particulate Matter, Sustainability R&D Team Environmental Team Certification- Qualification Team Multiple “Drop- in” Solutions ASTM D7566 Facilitate Deployment, Investment Business & Economics Team How CAAFI Works  Four teams addressing challenges to adoption  Meet periodically each year  Led by FAA, A4A and engine and aircraft OEMs

9. CAAFI Resources  CAAFI first point of contact for new stakeholders  Create primers, guidance and communication tools for the CAAFI community  Available at www.caafi.org 9

10. 10 2010 2009 2011 2012 2013 Approved Alternative Jet Fuels ASTM D7566 Sept 1, 2009 FT Sept 1, 2009 HEFA July 1, 2011 2014 Coal Natural Gas Biomass Plant/Animal Oils 2015 Drop-In Fuel Spec Also Called HRJ or Bio-SPK Nate Brown, FAA/CAAFI – 18 November, 2013

11. Coordinating USG Efforts across Supply Chain Feedstock Production Feedstock Logistics Fuel Conversion Conversion Process Scale- up/Integration Fuel Testing/Approval Fuel Performance Environment Assmt End User/ Buyer Enable Production FAA & Defense: C/Q Fuel testing Agriculture, Navy, & Energy: Defense Production Act and Biorefinery Program Defense & Airlines: fuel purchase Agriculture & Energy: R&D grants Energy & Defense: R&D grants Agriculture: Biomass Crop Assistance Program & Crop Insurance Program FAA, Defense, & NASA: Enviro Analysis Agriculture: Feedstock Development Center Grants EPA: Renewable Fuel Standard FAA: Guidance for Airports Facilitating Deployment and Investment

12. 12 Farm to Fly 2.0 … “THEREFORE, AS OUR GOAL, we the undersigned, jointly signify our intent to continue working together over the next five years in an expanded collaboration entitled “Farm to Fly 2.0”, to enable commercially viable, sustainable bio-Jet Fuel supply chains in the U.S. that are able to support the goal of one billion gallons of bio-Jet Fuel production capacity and use for the Aviation Enterprise by 2018”

13. State & Regional Deployment  Working with local lead organizations/POCs  Provide context, advice, strategy, benchmarking  Facilitate networks & links between stakeholders  Link to Farm to Fly 2.0 California Connecticut Colorado Florida Georgia Hawaii Illinois (MASBI) Iowa Louisiana Mississippi Nebraska New Mexico New York/New Jersey Nevada North Carolina Ohio South Carolina Vermont Washington (SAFN) States: buyer/producer offtakes -- studies, Pilot Plants, Demos -- USDA, DOE or DPA programs

14. Coordinating with International Efforts SWAFEA/Alfabird ABRABA/SABB Sky NRG Aireg Australia / AISAF IFP Energy Nouvelle CAAFI Formal and informal coordination International Airshows Workplans - Bilateral Cooperation Agreements Coordination with R&D organizations Global Exchange meeting ICAO as forum for exchange SENASA/ITAKA ICAO

15. 15 Airlines Are Now Flying With Drop-In Alternative Jet Fuels FT From Coal: FT From Natural Gas: HEFA From Plant Oils and Algae: 1999 - Present July-Dec 2011 (1,187 Flights) April 30 th, 2010 Nov 7 th, 2011 June 29 th, 2011 Nov 2011 (75 Flights) October 12 th, 2009 Nate Brown, FAA/CAAFI – 18 November, 2013 Mar-Aug 2013

16. 16 But… Production Scale-Up is a Challenge Nate Brown, FAA/CAAFI – 18 November, 2013

17. 17 Certification-Qualification: Future Fuels sugarcane Sugar Lignocellulose corn stover forest waste switchgrass Plant/Animal Oils Lignocellulose corn stover forest waste switchgrass Alcohol to Jet (ATJ) Direct Sugar to HC’s (DSHC) Hydrotreated Depolymerized Cellulosic Jet (Pyrolysis) (HDCJ) Catalytic Hydrothermolysis (CH) Other Catalytic Conversion Processes ARAKiORVirentAmyrisGEVOByogy Coal FT-SKA SASOL Nate Brown, FAA/CAAFI – 18 November, 2013

18. Bi-Annual General Meeting  CAAFI Bi-Annual General Meeting -- Jan 28-29, 2014 18

19. 19 Thank You Nate Brown, FAA/CAAFI – 18 November, 2013 Nate Brown Alternative Jet Fuel Project Manager FAA Office of Environment & Energy Tel: 202-493-4427 Email: Nathan.Brown@faa.gov