Sustainable Aviation Fuel Bill

Ayoub Khan Excerpts

Report stage
Wednesday 15th October 2025 Commons Chamber

New clause 7 is simple but strategic. It would require the Secretary of State to use the powers under the Bill to prioritise entering into at least one revenue certainty contract with a power-to-liquid SAF producer, where doing so will allow a project to reach final investment decision by the end of 2026. I am not asking for handouts. I am asking for the Government to show the leadership needed to de-risk the first mover, just as other countries are doing across Europe and North America. Without that certainty, no bank will lend and no project will proceed. New clause 7 would send a clear message that the UK is open for clean aviation, self-reliance and energy security.

[Ayoub Khan (Birmingham Perry Barr) (Ind)]

I thank my hon. Friend for giving way. He is making some very persuasive points. I support the intentions of the Bill and pushing for these fuels is absolutely the right thing to do, but does he agree that we must also keep a focus on the wider opportunities—for example, in hydrogen, battery electric systems and next generation e-fuels—if the UK is to be a leader in this technology?

[Iqbal Mohamed]

I thank my hon. Friend for his intervention and I wholeheartedly agree. We in the UK have the capabilities to be a leader in these technologies and we must take a collective approach on green energy for both environmental and economic gains. We need certainty for private capital to flow in and the delivery of long-term taxpayer returns.

Amendment 12 looks at the SAF mandate itself. It requires a review within 12 months of the sub-target for power-to-liquid fuel to assess whether it is ambitious enough and whether it reflects the urgency of the climate challenge and the pace of international competition. This is not about setting targets in haste; it is about ensuring our targets are based on evidence, consultation and real-world feasibility. The amendment explicitly requires engagements with power-to-liquid producers, airlines, experts and wider stakeholders, and it requires that a report be laid before Parliament.

Let me be clear: I do not stand alone in calling for this. More than 130 organisations, from airlines and clean energy firms to researchers and investors, have called on the Government to prioritise PTL through the Bill. They have called for urgent engagement, timely regulation and a clear pathway to a commercial-scale plant in the UK by 2026. We already know the EU is moving faster, alongside Canada and the United States, with more ambition on PTL. If we fall behind, we will become importers of clean fuel, not exporters of clean technology and we will miss the industrial opportunity staring us in the face. Time is of the essence, and we must all work together to get this right.