L

Lord Hendy of Richmond Hill (Lab)

Speaking in the House of Lords on 10 February 2026

Debate

Sustainable Aviation Fuel Bill

Contribution

Of course; I am very happy to repeat it. Our intention is for HEFA technology and feedstocks to be excluded from RCM contracts because HEFA SAF has already overcome many of the barriers to investment that the revenue certainty mechanism seeks to address. However, the SAF market is at an early stage and uncertain, so the legislation needs to remain flexible to allow for potential future changes in the market to which the revenue certainty mechanism may need to respond. I hear noble Lords’ concerns on growing crops for purposes other than food; the sustainability criteria in the revenue certainty mechanism will align with the sustainability criteria in the SAF mandate. This will be implemented through the eligibility criteria within the contract allocation process and will reflect the latest market and technological developments. We are actively monitoring trends to ensure that the policy keeps pace with technical and commercial developments. Therefore, we have launched a call for evidence on the eligibility of crops in the SAF mandate, which will run until 16 March this year. It asks for evidence on potential benefits, risks and trade-offs of using crops in SAF production. In answer to the questions from the noble Lord, Lord Mackinlay of Richborough, about carbon dioxide, I am sure that evidence on that will be provided as a consequence of that call for evidence. The call for evidence does not propose any changes to the SAF mandate. Should there be a case to review the feedstock eligibility criteria, it would be subject to consultation, and any changes would require amendments to legislation. We would not want to exclude specific feedstocks in the Bill in case updated evidence proves that they meet the sustainability criteria for eligibility in the SAF mandate. In answer to the point raised by the noble Lord, Lord Harper, on the position of the United States, we note that, but we will run the consultation first to understand the evidence arising from the questions we have asked. I thank the noble Lords, Lord Moylan and Lord Ravensdale, for tabling their amendments and ask that they do not press them based on the actions already being taken to give flexibility and ensure value for money.

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