Industry and Leipzig/Halle Airport Present "NetZeroLEJ"
At the International Aerospace Exhibition (ILA) in Berlin, the project partners from industry and Leipzig/Halle Airport, together with its shareholders the Free State of Saxony and Saxony-Anhalt, presented the results of the economic and technical feasibility study “NetZeroLEJ” to Federal Ministers Volker Wissing and Robert Habeck.
The study, developed by Airbus, DHL, HH2E, and InfraLeuna in collaboration with Leipzig/Halle Airport, aims to prepare and implement the production and use of sustainable synthetic aviation fuels (SAF) on an industrial scale. The planned production site is the chemical site at Leuna, where the German Aerospace Center (DLR) is already setting up a technology platform to research and test processes for producing Power-to-Liquid (PtL) fuels. The central German region, particularly the Leuna chemical site, thus plays a crucial role in the development and production of PtL fuels. Federal Ministers Volker Wissing and Robert Habeck visited the project at the ILA and discussed the current developments, challenges, and opportunities of SAF production in Germany.
Robert Habeck commented: “This project to produce SAF in Central Germany is a great example of how we can tackle the energy transition that we are aiming for in all areas in Germany and at the same time secure prosperity for the future. It clearly shows that producers and consumers - in this case the energy and transport industries - must work closely together to achieve our ambitious goals. As politicians, we can't afford to take a back seat here - we have to listen, talk and ensure that the right framework conditions are created so that Germany and Eastern Germany in particular remain attaractive as a production location and we reduce dependencies in our energy supply.”
The following findings for SAF produc-on in Germany can be derived from the study:
1. Reduction of electricity price for electrolyser operation: Reducing the electricity price from 55 euros to 20 euros per MWh for the production of green hydrogen by electrolysis under § 13k EnWG could lower the SAF price by about 15%. This is because hydrogen costs are predominantly determined by electricity costs. Using excess wind and solar power to produce green hydrogen not only contributes to reducing the price of PtL-SAF but also reduces the compensation that German energy consumers must pay to renewable energy producers for the energy they could produce but are not allowed to. This amounts to several billion euros annually.
2. Reduction of the interest rate for capital acquisition: Each 1 percentage point reduction in the interest rate along the value chain could reduce SAF costs by approximately 180 euros per ton. This is because about 20% of hydrogen costs arise from capital costs. Reducing the interest rate would decrease capital costs and thereby lower hydrogen and SAF costs.
3. Political support and regulatory certainty: Political instruments and support programmes are crucial for the implementation of sustainable aviation fuel production and the establishment of an efficient market in Germany. Clear guidelines, subsidies, purchase agreements, and legal frameworks reduce the risk for investors, ultimately leading to lower investment, financing, and SAF costs.
Germany has a unique opportunity to position itself as a leading player in the rapidly growing sector of renewable synthetic fuels. The essential prerequisite is to lower the currently high production costs, making them a competitive alternative to conventional kerosene. Early market entry is strategically advantageous, not only to contribute significantly to achieving CO2 emission targets but also to establish a stable and resilient supply chain for renewable synthetic fuels.
Besides contributing to sustainability goals, new jobs along the value chain of a sustainable industry will be created, thus promoting structural change in the eastern German regions of Saxony and Saxony-Anhalt.
The Head of the State Chancellery of the Free State of Saxony, Oliver Schenk, emphasized the need to reduce emissions in the aviation sector with a view to EU requirements: “It is smart and forwardlooking for Leipzig/Halle Airport, Germany's second-largest air freight hub and number four in Europe, to be equipped to use sustainable aviation fuels in the future. NetZeroLEJ can therefore make a significant contribution to future-proofing the airport and strengthening Central Germany as a business location. In view of the importance and size of this forward-looking project, we are also reliant on support from the federal government for its realization.”
The Secretary of State for Structural Change and Major Settlements in the State Chancellery of Saxony-Anhalt, Dr Jürgen Ude, called the chemical industry a fundamental pillar of the central German region. Ude said, “Leuna and the research and development sites in the surrounding area demonstrate Saxony-Anhalt's national and international excellence in this field. Through relevant corporate settlements, not only new jobs are created, but an important contribution is also made to the decarbonisation of the transport sector.”
The presentation of the feasibility study results marks an important milestone on the path to a more sustainable aviation industry and underscores the commitment of all parties involved to innovative solutions to combat climate change.
SAF makes a significant contribution to climate-neutral passenger and freight air transport, even on long-haul routes. As part of NetZeroLEJ, the production and use of PtL-SAF, which is made from renewable electricity, green hydrogen, and CO2, are planned. As a de facto dropin solution, they can be used in today's aircraft and offer the potential to quickly reduce the climate impact of air transport and make a substantial contribution to the sector's long-term path to climate neutrality. The prerequisite is the provision of sufficient quantities at the relevant locations.
Further Information: LEJ Net Zero | Mitteldeutsche Flughafen AG (mdf-ag.com) (only in German)