Air Canada and Airbus Launch Joint Initiative to Scale Domestic Canadian SAF

Our Bureau - : Jul 21, 2026 - : 3:09 am

As part of their shared commitment to aviation decarbonisation. Air Canada and Airbus have announced a jointly funded Sustainability Co-Investment Platform.

The two companies will invest up to approximately CAD 13.7 million (US$10 million) through the platform to support a commercial-scale Sustainable Aviation Fuel (SAF) industry in Canada. Key focus areas include accelerating a jointly agreed Canadian SAF project toward a Final Investment Decision (FID).

While Air Canada and Airbus intend to drive this investment, both companies look forward to continuing their constructive collaboration with government partners to establish the right structural frameworks to support SAF production to emerge at scale in Canada. Their ongoing joint advocacy alongside the Canadian Sustainable Aviation Fuel Coalition (C-SAF) reflects a shared commitment to working with federal and provincial governments.

"Through this joint initiative with Airbus, we are taking meaningful steps toward supporting domestic SAF production, helping corporate customers address the emissions associated with business travel, and contributing to a lower-carbon path for the industry. With continued industry collaboration and a supportive policy environment, we are confident this momentum can accelerate" said Valerie Durand, Vice President, Airport Affairs, Corporate Real Estate and Sustainability at Air Canada.

"By launching this co-investment platform and making a long-term commitment to Air Canada's Leave Less Travel Programme, we will help to stimulate the production of, and demand for, SAF in Canada. The country has a vast feedstock potential. When combined with a supportive policy framework, it can contribute to the sector's decarbonisation ambitions and create significant economic growth and job creation." said Julie Kitcher, Airbus Chief Sustainability Officer and Communications.

Climate Solution for Corporate Travel

Complementing this foundational investment, the initiative introduces a vehicle for corporate partners to stimulate domestic SAF demand through Air Canada's Leave Less Travel Program.

Demonstrating its commitment, Airbus has signed a long-term, 5-year Leave Less Travel Program Agreement. As part of this parallel corporate travel partnership, which distributes verified SAF environmental attributes to participants, Airbus will purchase SAF environmental attributes associated with over 60,000 litres of SAF for its first allocation.

Multi-Billion Dollar Economic Potential

A new macroeconomic study by Airbus and ICF highlights Canada's significant potential to lead in aircraft biofuels production. The study reveals that scaling domestic SAF to meet 40% of Canada's aviation fuel demand by 2040 could add $32 billion to the national GDP and create 140,000 jobs across agricultural, forestry, and urban regions.

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