Air Canada and Airbus have unveiled a joint sustainability investment platform to accelerate the development of a commercial-scale Sustainable Aviation Fuel (SAF) industry in Canada, reinforcing their long-term commitment to decarbonizing the aviation sector. Under the initiative, the two companies plan to invest up to €9.2 million through a newly established Sustainability Co-Investment Platform, designed to support innovation and expand domestic SAF production.
The partners said the platform is intended to catalyze broader investment in Canada's emerging sustainable aviation fuel sector, leveraging the country's abundant biomass and renewable feedstock resources while strengthening energy security and creating new economic opportunities. A primary objective of the platform is to help advance a selected Canadian SAF project toward a Final Investment Decision (FID), a critical milestone for commercial-scale production.
Air Canada and Airbus also plan to work closely with federal and provincial governments to establish policy frameworks that encourage large-scale SAF deployment. Both companies stressed that supportive regulations and long-term investment incentives will be essential to building a competitive domestic SAF industry. The initiative aligns with ongoing collaboration between the companies and the Canadian Council for Sustainable Aviation Fuels (C-SAF), which is working to accelerate the commercialization of renewable aviation fuels through coordinated industry and policy efforts.
By combining private investment with supportive public policies, the partners aim to increase both the availability and affordability of sustainable aviation fuels for Canada's aerospace sector while reducing aviation-related carbon emissions. Valerie Durand, Vice-President of Airport Affairs, Corporate Real Estate and Sustainability at Air Canada, said the investment platform represents an important milestone in the airline's broader decarbonization strategy.
She noted that expanding domestic SAF production will not only support Air Canada's climate goals but also help corporate customers reduce emissions associated with business travel while contributing to the aviation industry's transition toward lower-carbon operations. Julie Kitcher, Chief Sustainability Officer and Communications at Airbus, said achieving aviation decarbonization will require sustained collaboration across the industry and long-term investment in renewable energy technologies. She added that the co-investment platform, together with Airbus' long-term commitment to Air Canada's Leave Less Travel Programme, is expected to stimulate both the production and market demand for sustainable aviation fuel in Canada.
The announcement reflects growing momentum behind SAF as governments, airlines and aircraft manufacturers intensify efforts to reduce aviation emissions. As global demand for low-carbon fuels rises, partnerships that combine industrial investment with supportive policy frameworks are increasingly viewed as essential to scaling next-generation biofuels and achieving net-zero aviation targets.
