AirAsia has unveiled a new milestone in its long-standing alliance with Airbus, the European aerospace giant, aimed at advancing aviation sustainability initiatives and reducing carbon emissions across the ASEAN region.
Through a newly signed Memorandum of Understanding (MoU) between their sustainability teams, AirAsia and Airbus will collaborate on exploring decentralized production of Sustainable Aviation Fuel (SAF) in Southeast Asia. This research-driven partnership will focus on utilizing alternative feedstocks and innovative technologies to enhance SAF supply in the region, with an eye on supporting the commercial development of these emerging projects.
In addition to SAF production, the MoU outlines plans for a joint effort to improve air traffic management (ATM) and lower CO2 emissions. This will leverage AirAsia’s leading fuel efficiency strategies along with Airbus’ expertise as a global leader in aeronautics. Both parties will evaluate the potential to implement advanced solutions developed under the Single European Sky ATM Research (SESAR) initiative, adapting these innovations for ASEAN airspace.
Capital A Chief Sustainability Officer, Yap Mun Ching said, “AirAsia will be a key partner of Airbus in ASEAN to test the feasibility of SAF output developed using alternative feedstock and technologies, as well as ground-breaking ATM initiatives supported by Airbus’ innovation teams. As a regional carrier based in five ASEAN countries, we bring unparalleled operational experience in the region to complement Airbus’ technological expertise. The partnership establishes a foundation upon which to build joint projects at multiple levels that address the broad needs of improving the environmental performance of the sector.”
Yap said the partnership directly addresses the prerogative for the aviation sector to invest in and scale up in-sector solutions that are critical to decarbonising the industry. Other than improvements in efficiency and adoption of SAF, she said a key pathway for AirAsia to achieve net zero by 2050 is by upgrading the airline’s fleet to the most fuel-efficient models.
In June, AirAsia welcomed its first new A321neo aircraft since the onset of the Covid-19 pandemic. The airline is set to receive an additional five aircraft in the fourth quarter of this year, with plans to deploy them in Malaysia and Thailand. Starting in 2024, all Airbus aircraft deliveries to AirAsia will include a fuel blend containing 5% Sustainable Aviation Fuel (SAF).
Airbus Chief Sustainability Officer, Julie Kitcher said, “Airbus is contributing to the decarbonisation of aviation around the world. That means working with our customers in every region, looking at all solutions available today and collaborating on research for future technologies. AirAsia is a key partner in the ASEAN region and we are excited to work with the airline to explore operational efficiency levers, including air traffic management and scaling up the production and distribution of SAF.”
AirAsia has placed an order for 361 A321 aircraft to support its fleet expansion and replacement plans. By 2035, these new aircraft are projected to reduce the airline group’s CO2 emissions by up to 10% compared to 2019 levels. Additional reductions of 15% are expected through improved operational efficiencies and the use of Sustainable Aviation Fuel (SAF), as AirAsia targets net-zero emissions by 2050.
In 2023, AirAsia successfully avoided emitting 130,000 tonnes of CO2 across its narrowbody regional network by implementing over 20 operational efficiency initiatives. This reduction is equivalent to the environmental impact of planting more than 2 million trees**. These measures also resulted in significant financial savings, including $40 million in fuel costs and over $388,000 in shadow carbon costs.