Three proposed sustainable aviation fuel (SAF) projects in the Philippines are seeking equity partners, with developers pursuing different production technologies and feedstocks as the country considers introducing a SAF blending requirement by 2030.
The projects are being developed by SAFAsia, Inc., Singapore-based clean fuel and carbon project developer Alcom, and Cavitoil Basura Power, Inc., according to Morinaella Jeusine M. Torgo, a supervising investments specialist at the Philippines’ Board of Investments (BoI). Speaking to reporters on the sidelines of the ASEAN Transportation Forum 2026, Torgo said the projects could be developed by 2030, although their progress will depend on securing investment and meeting other implementation requirements.
The developments represent potential opportunities to establish domestic SAF production capacity in the Philippines. However, none of the three projects can be considered assured of reaching operation by the target date while equity financing and other requirements remain outstanding.
Three developers pursue different SAF production pathways
The BoI is supporting the three proposed projects, which are expected to use different feedstocks and production technologies. The agency has identified the diversity of their approaches as a distinguishing feature of the proposed investments.
Cavitoil Basura Power’s project is expected to use solid waste as a feedstock for SAF production, according to Torgo. The source announcement does not specify the conversion technology, the composition of the waste feedstock or the project’s planned production capacity.
Details of the production pathways proposed by SAFAsia and Alcom were not provided in the reported remarks. Their respective feedstocks, technology configurations, capital requirements and expected fuel outputs therefore remain unclear from the available information.
The use of different pathways could allow the Philippines to explore several routes to domestic SAF production. Their relative commercial viability, however, will depend on feedstock availability, conversion efficiency, capital expenditure, operating costs and the ability to produce fuel that meets aviation specifications.
The three developers had previously presented their proposals at a SAF investment forum organised in October 2025, where the projects were identified as potential investments in the country’s emerging aviation-fuels sector.
Equity financing remains a key hurdle
Torgo said the projects could potentially be developed by 2030 but stressed that their implementation depended on several factors, including the recruitment of equity partners.
“Looking at a timeline, at least, hopefully, by 2030. There are a lot of factors involved. These three projects, there are project developers. They are still looking for equity partners,” she said.
The search for equity investors is an important step in advancing the proposals beyond development. Equity financing can help developers fund project preparation and construction while providing a capital base for securing additional financing, subject to the project’s structure and investor requirements.
For prospective investors, assessing the three projects will require greater clarity on their technology choices, feedstock supply chains, expected output, offtake arrangements and the regulatory framework for SAF in the Philippines.
The BoI’s support indicates that the projects are being considered within the country’s investment-development efforts. It does not, by itself, establish that financing has been secured or that construction decisions have been finalised.
Philippines considers a 1% SAF blending requirement by 2030
The proposed projects are progressing against a developing policy backdrop. The Philippine Department of Energy (DoE) is considering a requirement for airlines to use a minimum 1% SAF blend by 2030, a measure intended to encourage investment in domestic production.
The proposal remains under consideration, and the DoE is working on a regulatory framework for SAF production and adoption. The reported material does not establish that the blending requirement has been formally adopted or specify how compliance would be measured or enforced.
A blending requirement could provide a demand signal for fuel producers and investors by creating a potential market for SAF. Its practical impact would depend on the final policy design, the availability and cost of qualifying fuel, and the readiness of domestic production and distribution infrastructure.
The Civil Aviation Authority of the Philippines (CAAP) has also been pursuing cooperation with industry groups and other organisations to support SAF development. Coordination among government agencies, fuel producers, airlines and investors will be important if the country intends to develop a domestic supply chain ahead of 2030.
Feedstock availability and technology choices will shape project viability
SAF can be produced from several non-petroleum feedstocks, including agricultural residues, used cooking oil and certain waste streams. The resulting fuel’s production costs and lifecycle greenhouse gas emissions depend on the feedstock, conversion pathway, energy inputs and other supply-chain factors.
Cavitoil’s proposed use of solid waste introduces a potential connection between waste management and aviation decarbonisation. However, the commercial and environmental case would depend on the composition of the waste, the conversion process, the fuel yield and the management of residual materials.
The three projects’ differing technological approaches could help diversify the country’s potential production options. At the same time, different pathways may require distinct processing equipment, feedstock collection systems and infrastructure. Investors will need to assess these requirements alongside the prospects for securing long-term fuel offtake.
The International Air Transport Association (IATA) estimates that SAF could contribute around 65% of the emissions reductions needed for global aviation to achieve net-zero carbon emissions by 2050. This is an industry-wide estimate of SAF’s potential contribution, not a forecast for the Philippines or for any of the three proposed projects.
The development of domestic production could help the Philippines participate in the wider SAF market, but the scale of that opportunity will depend on whether the proposed facilities secure financing, meet technical and regulatory requirements, and deliver fuel at commercially viable prices.
Bioenergy Business Analysis
The three proposed Philippine SAF projects illustrate the gap between identifying potential production opportunities and building a commercially viable domestic aviation-fuel industry. Although the developers are pursuing different technologies, the immediate challenge is securing equity partners while the regulatory framework and potential demand requirements continue to take shape.
The proposed 1% SAF blending requirement by 2030 could improve the investment case by signalling future demand. However, investors will need greater certainty about the policy’s implementation, eligible fuel pathways, compliance obligations and the availability of customers willing or required to purchase SAF. Until the proposal is finalised, it should not be treated as a guaranteed market for the projects.
Cavitoil’s proposed waste-to-SAF pathway is particularly relevant to the intersection of waste management and renewable fuels. Converting suitable waste into aviation fuel could create value from some waste streams, but the environmental and commercial benefits would depend on the waste composition, conversion efficiency, lifecycle emissions and competing uses for the material.
For SAFAsia and Alcom, further disclosures on feedstocks, production capacity, technology selection and project economics will be necessary to evaluate their investment readiness. Across all three proposals, securing reliable feedstock supplies, demonstrating compliance with aviation-fuel specifications and establishing credible offtake arrangements will be central to financing decisions.
