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Break out session Climate Smart Supply Chains
June – 17 – 2015 Misha Valk
Break out session Climate Smart Supply Chains June 17 2015 Misha - - PowerPoint PPT Presentation
Break out session Climate Smart Supply Chains June 17 2015 Misha - - PowerPoint PPT Presentation
Break out session Climate Smart Supply Chains June 17 2015 Misha Valk Outline Rationale for biojet and introduction SkyNRG Our approach to supply chain development Biojet fuel is essential in order to substantially reduce carbon
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Biojet fuel is essential in order to substantially reduce carbon emissions
Improve fleet efficiency by 1.5% per year from now until 2020 Cap net emissions from 2020 through carbon neutral growth By 2050, net aviation carbon emissions will be half of what they where in 2005
1 2 3
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Biofuels can be a natural hedge against increasingly volatile fossil fuel prices
2000 2001
$0
2013
$1200
2004 2005 2003 2006 2002
$800 $1000 $400 $600
2012 2011 2010 2009 2008 2007
$200 $1400 $/Mt 37% 31% 18% Fuel 3% 5% 6% Crew Ownership Fees 100% Other Maintenance
Historic jet fuel prices Operational cost structure Gary Kelly, Southwest Airlines CEO: “Where is it going to be 90 days from now? It just is alarming to think that you could have that much volatility and that much surprise to the world.”
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Track record
2009 2010 2011 2012 2013 SkyNRG founded by three complementary JV partners
First Green Route Weekly biofuel flights from New York to Amsterdam
Copernicus Institute Utrecht University
SkyNRG Sustainability Board
SkyNRG, KLM, the Dutch government, Neste, Port
- f Rotterdam and
Schiphol set up a supply chain initiative in NL KLM Corporate BioFuel Programme
SkyNRG supplied most commercial sustainable jet fuel flights up to date
Second Green Route Weekly biofuel flights from Amsterdam to Aruba & Bonaire
2014
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SkyNRG’s main focus is to supply aviation with sustainable jet fuel To do this we have two main pillars in the company
Operational
– Fuel sourcing – Blending & certification – Delivery & paperwork
Co-funding the premium
– Corporate program – Airport commitments – Incentivized systems
Feedstock
– Ensure sustainability – Enabling projects
Supply & Operations
Regional supply chain development
Feedstock Technology Downstream logistics
Discussion & Interaction
Different stakeholder groups (governments, airlines, industry, NGOs) Conferences Workshops
Market development
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Outline
Rationale for biojet and introduction SkyNRG Our approach to supply chain development
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The two pillars come together in our BioPort concept
SkyNRG BioPort structure
Corporates BioPort development team Airline
Physical bio jet delivery $ Physical bio jet delivery Benefits Corporate Program
Government
$
Conversion Feedstock Get BioPort operational with external fuel supply Blending & Logistics Develop a regional supply chain 1 2 A local BioPort focuses on creating value downstream in the Biojet fuel value chain by aggregating all stakeholders at a single airport. Two key elements:
- 1. Get co-funding mechanisms in place (government incentives + Corporate Program to bridge the transition )
- 2. Development of a efficient regional supply chain (feedstock + conversion technology) that can compete with
fossil fuel
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Highlighting: BioPort Holland
Refining Pure fuel Blended fuel Airport hydrant
I&M EZ
Blending Veg oil
A joint initiative to strengthen the development and deployment of sustainable aviation biofuels in the Netherlands A consortium of strong partners with ambitious sustainability targets Enabled by the implementation of the EU Renewable Energy Directive in the Netherlands
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Highlighting: the corporate program
Airlines do not have enough capital to pay a premium for sustainable jet fuel SkyNRG’s Corporate Program enables corporations to reduce their business travel footprint by flying on sustainable jet fuel The program connects the corporates to other frontrunners, that demonstrate leadership in the field of sustainability The program offers a worldwide range of exposure, e.g. large press events & media coverage
SkyNRG Corporate Program: rationale and description
Green Route: New York JFK- Amsterdam Schiphol Airline: KLM Aircraft: Boeing 777 Feedstock: Used Cooking Oil Blend: 20% Frequency: every Thursday Sustainability: Entire supply chain RSB certified Green Route: Amsterdam Schiphol - Bonaire Airline: KLM Aircraft: Airbus / Embrear Feedstock: Used Cooking Oil / Camelina Oil Blend: 20% Frequency: 2 times a week
The first corporate program was set up with KLM and enables green routes
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