GHG Emissions, Commercial, Sourcing Renewables  -  November 25, 2024

Cathay Pacific, HSBC Hong Kong Partner for SAF

HSBC Hong Kong and Cathay Pacific are launching an initiative to support the use of sustainable aviation fuel (SAF) in Hong Kong. 

By bringing together Hong Kong’s largest bank HSBC, its home airline Cathay Pacific, and EcoCeres, a Hong Kong-based SAF producer, the collaboration seeks to support a key innovation for the long-term decarbonization of air travel and foster a local SAF ecosystem for Hong Kong.

HSBC Hong Kong is entering into a one-time purchase agreement for around 3,400 metric tons of SAF produced by EcoCeres, which will be used in Cathay Pacific flights departing from the Hong Kong International Airport.

EcoCeres’ SAF is derived from 100% waste-based biomass feedstock, which can deliver an estimated reduction of up to 90% in GHG emissions compared to conventional jet fuel and is certified by International Sustainability and Carbon Certification (ISCC). 

This batch of SAF is made from fully traceable feedstock of used cooking oil. The reduction in lifecycle carbon emissions is estimated to be 11,800 metric tons compared with use of the same volume of conventional jet fuel.

“This is the largest SAF purchase that HSBC has undertaken to date,” said Luanne Lim, Chief Executive Officer Hong Kong, HSBC, in a statement. “The Hong Kong initiative will serve as a pilot program, which could help pave the way for broader implementation. It reflects our support for new economy solutions and demonstrates how businesses can collaborate to support innovative decarbonisation technologies.”

In October 2020, HSBC set an ambition to become a net zero bank by 2050. The bank released its first Net Zero Transition Plan in January 2024, outlining its approach and the actions underway to help meet that ambition.

Cathay aims to achieve net-zero carbon emissions by 2050 and to use SAF for 10% of Cathay Pacific’s total fuel consumption by 2030. To accelerate the transition to SAF, Cathay launched its Corporate SAF Program in 2022, enabling members to reduce their indirect emissions associated with air transportation. HSBC Hong Kong was a launch member of the Cathay Corporate SAF Program. The program has a total commitment of over 6,050 metric tons of SAF in 2024.