BlackRock, Samsara Buy Sustainable Aviation Fuel to Compensate for Business Travel Emissions
Climate solutions platform Watershed announced that it has facilitated the purchase of sustainable aviation fuel certificates (SAFc) on behalf of customers including BlackRock, Ripple, Samsara, and Block. These certificates will be utilized by the companies to supply sustainable aviation fuel (SAF) to Alaska Airlines passenger flights. In return, the companies will receive carbon offset credits for the emissions generated by employees’ business travel.
Founded in 2019, Watershed provides a platform aimed at enabling companies to collect and report sustainability data, as well as a marketplace to help companies invest in decarbonization projects ranging from carbon removal and clean power to sustainable aviation fuel.
The SAFc purchases are being coordinated with the Sustainable Aviation Buyers Alliance (SABA), an international organization that drives investment and adoption of SAF. Watershed is an aggregator partner of SABA. The purchases are part of SABA’s largest-ever collection of deals, announced in April 2024, with commitments expected to result in $200 million of SAFc, worth roughly 50 million gallons of SAF, equivalent to 500,000 tons of abated CO2e (reduced through technologies such as carbon capture and storage) over the next five years, Watershed said.
Claire Kiely, Head of Watershed Marketplace Carbon Supply, said:
“We see collective engagement in the SAF market as a compelling demand signal. Watershed consolidates our customers’ demand for high-impact, low-carbon technology like sustainable aviation fuel, then works with SAF suppliers, airlines, and experts through SABA to meet that demand and grow an essential new sector. By participating in this historic investment, Watershed customers are providing a powerful demand signal for SAF and affirming the role SAFc will play in corporate emissions reduction initiatives.”
SAF is made with renewable or waste feedstocks and can be used in today’s aircraft without investments to upgrade existing fleets and infrastructure, significantly reducing the carbon emissions from flights. SAF purchased through the SABA transaction will achieve, on average, an 80% reduction in carbon intensity relative to conventional jet fuel, Watershed said. While the industry is growing rapidly, SAF still makes up less than 0.5% of global jet fuel supply and today sells at a premium price compared to fossil jet fuel.
Diana Birkett Rakow, Senior Vice President of Public Affairs and Sustainability at Alaska Airlines, said:
“We are one of the founding members of SABA’s Aviators group because we know that we will only reach our destination if we’re tackling this challenge from all angles – business, policy, financing, and more. Investing in SAF alongside partners like Watershed, BlackRock, Ripple, Samsara, and Block helps us scale up use and provides critical demand signals for the market. We’re grateful for their leadership and partnership, and look forward to even more collaboration as they join SABA.”