The airline industry’s dirty secret: Clean jet fuel failures

PARAMOUNT, California — In 2019, Scott Kirby, the chief executive of United Airlines, hailed its new contract with green jet fuel producer World Energy as an example for the aviation industry to follow in its drive to cut emissions.

Six years later, that collaboration is dead.

Boston-based World Energy was one of the first companies in the world to produce commercial quantities of sustainable aviation fuel (SAF), a type of renewable fuel made from sources such as used cooking oil, agricultural residues and other waste.

Its Paramount refinery near downtown Los Angeles had been a rare success story, supplying millions of gallons of SAF a year to airlines such as United Airlines and fellow U.S. carrier JetBlue Airways. The plant, which began operations in 2016, was central to the carriers’ pledges to help the airline industry switch to a blend of 10% SAF by the end of this decade.

But the refinery quietly ceased operations in April. And World Energy’s plans for a second plant in Houston have stalled amid a lack of commitment from the industry, according to Chief Executive Gene Gebolys.

“Some airlines were engaged in a pretty disingenuous effort to put out press releases” overstating their commitment to SAF projects, Gebolys said, without naming any companies. “People sometimes said too much in the past and did too little.”

Still, Gebolys acknowledged that some airlines have made a genuine effort to support SAF producers, while governments also needed to step up with stronger incentives to drive progress.

The termination of United’s fuel purchase contract with World Energy — and the closure of the Paramount refinery — have not previously been reported.

United Airlines said it ended its relationship with World Energy “a few years ago”, without providing a reason. A JetBlue spokesperson said World Energy has been a “valued partner” since 2020 and it will continue working with the company.