WELCOME
For almost 18 years, SimpliFlying has been a trusted partner to airlines, airports, and technology firms worldwide. We have been on a mission to help build trust in aviation. To empower the industry to soar to new heights through digitalisation, innovation, and a steadfast commitment to sustainability.
We're not just sought after strategy consultants, we are passionate advocates for meaningful change. Headquartered in Singapore, our global team based out of Canada, India, Spain and the UK is dedicated to equipping aviation and technology executives with the tools, insights, and strategies needed to navigate the complexities of sustainable aviation.
From major airlines and airports to aircraft manufacturers and travel technology companies, our extensive client base underscores our reputation as a trusted partner in the aviation industry since 2008.
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At SimpliFlying, we're committed to helping you navigate the complexities of sustainable aviation and thrive in an ever-changing landscape.
Here are some ways we can help you in your sustainability journey:
Connect sustainable tech startups with investors and industry
SimpliFlying Immersions pioneer a new era of real-life connections through immersive experiences, deep learning, and cutting-edge innovation exchange. We do this by facilitating site visits and bringing aviation leaders to startup facilities to offer a platform for tangible collaborations to take shape.
Discover the next wave of sustainable travel technology
The SimpliFlying Launchpad brings ready-to-scale technologies that can help accelerate sustainable travel to decision-makers in aviation. We curate the best startups and scaleups, help them build an aviation-specific brand strategy, and introduce them to airlines and airports ready to put a pilot in place.
Share your vision with a global audience
Like 80+ other CxOs in the industry, enlist your CEO or Head of Sustainability to be interviewed by Shashank Nigam. Share your vision for the future of travel on the world’s best-known sustainable aviation podcast "Sustainability in the Air". Find out more on becoming a partner.
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SimpliFlying has helped a multitude of technology firms scale up in aviation – from acquainting aviation executives to eSAF technologies to marketing an Airbus A380 engine We can help you amplify your brand and help build awareness with key decision-makers.
Stay informed, stay ahead
We deliver in-depth monthly or quarterly briefings to the senior leadership teams on a topic/issue of your choosing. You can also sign up for a series of briefings that cover key aspects of the present and future of sustainable aviation.
EXECUTIVE SUMMARY
SimpliFlying's Sustainable Aviation Outlook Report 2025 reveals an industry recalibrating its sustainability approach amid mounting challenges. Based on survey responses from 22 global airlines—including Alaska Airlines, Etihad, Cathay Pacific, Qantas, China Airlines, Air France-KLM, Air India, and Pegasus Airlines—our second annual report shows airlines adopting more pragmatic, diversified strategies while contending with persistent barriers to decarbonisation.
Tempering expectations and growing caution
• Investment priorities appear to have shifted from sustainable aviation fuel (SAF) companies (64.7% in 2024 to 36.4% in 2025) to fleet renewal (81.8% in 2025), indicating a preference for immediate efficiency gains over longer-term fuel solutions
• SAF adoption remains low with most airlines using less than 1%, despite 73% having formal uptake plans targeting 10% by 2030
• 81% of airlines believe less than half of projected 2030 SAF demand will be met by available production capacity
• Operational efficiency priorities have shifted from eco-piloting to weight reduction (95% adoption) and waste management (91%)
• Airlines are retreating from next-generation aircraft investments with only 14% investing in future propulsion technologies, down from 41% in 2024
Organisational developments
• Hybrid sustainability team structures remain dominant (68%)
• Chief Sustainability Officers are present in 50% of airlines
• Monthly sustainability reporting has more than doubled (18% to 41%)
• Sustainability budgets continue to grow for 63.6% of airlines, though 45.5% now decline to disclose allocation details
Communication challenges
• Airlines perceive declining stakeholder interest in sustainability across all groups
• Concerns about greenwashing have increased significantly, with only 5% of airlines now openly discussing their initiatives (down from 24%)
• ESG/Sustainability report publication has increased from 71% to 77%
Communication challenges
• High costs (86.4%) and technological limitations (72.7%) remain dominant obstacles
• Regulatory challenges have increased in prominence (41.2% to 54.5%)
• New significant barriers include limited internal resources (36.4%) and lack of industry collaboration (27.3%)
This year's findings suggest an industry increasingly balancing ambitious climate goals with operational realities, focusing on achievable near-term efficiencies while developing more sophisticated governance and reporting structures. As airlines navigate this crucial transition period, strategic collaboration, policy support, and continued investment will be essential to maintain momentum toward the sector's net-zero ambitions.
ABOUT THE SURVEY
To gain a deeper understanding of how airlines are approaching sustainability, we conducted our second annual comprehensive survey of global airlines. This year, 22 leading carriers participated—an expanded sample compared to 17 in 2024—representing a broad mix of geographies, business models, and fleet sizes.
Participants included Alaska Airlines, Etihad, Cathay Pacific, Qantas, China Airlines, Air France–KLM, Air India, and Pegasus Airlines. (See the full list on page 51.)
This year’s survey explored six key areas:
Team structure
Strategy and Reporting
Sustainability initiatives
Sustainable aviation fuel (SAF)
Perception and Communication
Budget and Investment
This expanded framework builds upon our 2024 research while adding greater depth to our understanding of SAF adoption—a critical area for industry decarbonisation.
Our objective was to assess the evolving state of sustainability efforts within the airline industry, identify trends and shifts since our inaugural 2024 report, and provide insights into how carriers are progressing on their sustainability journeys.
The survey was taken by senior executives and sustainability leaders from each participating airline. The combination of repeat questions from 2024 and new, more detailed inquiries for 2025 allows us to track year-on-year progress while exploring emerging areas of interest.
By benchmarking progress, highlighting challenges, and identifying best practices, this report serves as both a status update on the industry's sustainability journey and a guidebook for the path ahead.
To explore all charts—including those not featured in this report—visit the Sustainable Aviation Insights Platform, our new interactive companion designed for benchmarking and deeper strategic insight.
WHERE ARE WE NOW
THE STATE OF SUSTAINABLE AVIATION IN 2025 WHERE WE ARE NOW
“The future depends on what you do today.”
– Mahatma Gandhi
As the aviation industry continues its challenging journey towards net-zero in 2050 and ambitious near-term targets, SimpliFlying's second annual Sustainable Aviation Outlook Survey provides a comprehensive view of how airlines are adapting their strategies, structures, and investments to meet increasingly urgent climate goals. Building on our inaugural 2024 report, this year's survey captures responses from 22 airlines worldwide, offering valuable insights into how sustainability efforts are evolving across the sector.
The results reveal an industry in transition, with growing acknowledgement of sustainability's strategic importance juxtaposed against persistent obstacles to meaningful progress. While airlines are investing more than ever in decarbonisation initiatives, they face significant headwinds in terms of costs, technological barriers, and resource constraints.
Shifting priorities and approaches
Perhaps the most notable shift between 2024 and 2025 is a reorientation of investment priorities. While SAF dominated airline sustainability investments in 2024 (64.7% of respondents), fleet renewal has emerged as the overwhelming focus in 2025, with 81.8% of airlines directing resources toward modernising their aircraft. This pivot suggests a growing emphasis on tangible, immediate efficiency gains through newer, more fuelefficient aircraft, while the industry awaits scaled production of alternative fuels.
Team structures continue to evolve, with 68% of airlines now employing a hybrid approach that combines dedicated sustainability teams with distributed responsibility across departments, slightly down from 76% in 2024. The presence of Chief Sustainability Officers remains steady at around 50%, indicating that sustainability leadership is becoming a permanent fixture in airline executive teams, though not universally adopted.
Tempering expectations and growing caution
A consistent theme throughout the 2025 survey is a recalibration of expectations. Across all stakeholder categories—customers, employees, board members, communities, and governments—airlines perceive a downward shift in the importance placed on sustainability compared to 2024. This could reflect a more realistic assessment of stakeholder priorities in a challenging economic climate, or perhaps growing awareness of the complexity involved in aviation decarbonisation.
Similarly, airlines are displaying increased caution in their sustainability communications. The percentage of respondents who openly discuss their environmental initiatives dropped sharply from 24% in 2024 to just 5% in 2025, while those expressing concerns about greenwashing accusations rose from 35% to 59%. This suggests heightened awareness of the reputational risks associated with overstating sustainability progress.
The SAF challenge: Ambition vs reality
The survey reveals a growing tension between ambitious SAF targets and realistic expectations of what can be achieved. While 73% of airlines now have formal SAF uptake plans in place (with most targeting 10% by 2030), 81% believe that less than half of projected SAF demand will actually be met by available capacity in 2030. Additionally, 77% disagree that current industry commitments are sufficient to drive necessary production investment.
Despite these concerns, airlines are diversifying their SAF strategies, with 36% now pursuing both biofuels and synthetic fuels simultaneously, rather than focusing on a single pathway as was common in 2024. This suggests a more sophisticated approach to managing supply risks in an uncertain market.
Persistent barriers and emerging challenges
High costs (86.4%) and technological limitations (72.7%) remain the most significant barriers to sustainability progress, consistent with 2024 findings. However, regulatory challenges have increased in prominence (54.5% vs 41.2%), and concerns about profitability have grown (36.4% vs 23.5%).
The 2025 survey also highlights new obstacles, including limited internal resources (36.4%) and lack of industry collaboration (27.3%). These emerging challenges point to the growing complexity of sustainability implementation as airlines move from setting targets to executing comprehensive decarbonisation strategies.
Financial commitment and resource allocation
Budget allocation for sustainability initiatives shows a mixed picture. While a majority of airlines (58.8%) allocated less than 1% of their budget to sustainability in 2024, this trend continues in 2025 among those who disclosed their budgets (36.4%). However, nearly half of respondents (45.5%) preferred not to disclose this information in 2025, suggesting potential sensitivity around sustainability investments.
Nevertheless, 63.6% of airlines report increases in sustainability budgets over the past year, with 22.7% reporting significant increases. This indicates that despite economic pressures, sustainability remains a priority investment area for many carriers.
The
road ahead
The 2025 Sustainable Aviation Outlook Survey reveals an industry grappling with the realities of decarbonisation. While the commitment to sustainability remains strong, airlines are adopting more pragmatic, diversified approaches to address the immense challenges ahead. Fleet renewal has emerged as a dominant near-term strategy, while expectations around SAF have been tempered by supply constraints and economic realities.
As the industry continues its journey toward net-zero emissions, collaboration, innovation, and supportive policy frameworks will be essential to overcome the persistent barriers identified in this survey. The coming years will be crucial in determining whether aviation can successfully navigate its sustainability transition while maintaining its vital role in global connectivity.
GLOBAL BENCHMARKS & TRENDS
Regional SAF usage as % of total fuel (2019–2023): trends over time
*Source: Envest **Source: Aaron Robinson, IAG
2023 regional comparison
02INSIDE THE AIRLINE OUTLOOK
Team structure
“Coming together is a beginning. Keeping together is progress. Working together is success.”
– Henry Ford
The airline industry's approach to sustainability governance and team structures shows both evolution and stability between 2024 and 2025. With climate considerations increasingly central to aviation strategy, how airlines organise their sustainability functions offers critical insights into their commitment levels and operational approaches. Based on survey responses from 17 airlines in 2024 and 22 in 2025, this analysis examines how the structure, leadership, and resourcing of sustainability teams are evolving within the industry.
Key findings
Hybrid models prevail with growing specialisation
Strategic team rightsizing
Leadership at an inflection point
Emerging governance patterns
The hybrid approach to sustainability governance remains dominant (68% in 2025), though distributed models are gaining ground (up to 23%). Notably, preference for dedicated teams jumped from 0% to 18%, reflecting growing recognition of sustainability's specialised requirements and complexity.
Airlines are restructuring their sustainability teams, with a clear shift from very large teams (>10 staff down from 41% to 27%) toward smaller configurations (1-2 staff increased from 6% to 23%). However, most plan to expand mid-sized teams (3-5 staff) from 36% to 45% within a year, indicating optimised rather than reduced resourcing.
The industry appears to have reached “parity” on CSO adoption (50% in 2025), while leadership diversification continues with "Other" executives increasingly taking charge (up from 18% to 41%). Corporate Affairs leadership has declined sharply (from 29% to 9%), while CEO involvement has grown (from 12% to 18%), suggesting sustainability's elevation to strategic priority.
Airlines increasingly favor dedicated sustainability leadership rather than adding responsibilities to existing portfolios. While CSOs remain the preferred leaders (55%), the trend shows a more nuanced approach to governance that balances specialized expertise with organizational integration.
Recommendations for airlines
Optimise hybrid models
The continued dominance of hybrid sustainability team structures confirms their effectiveness. Airlines should maintain this approach while ensuring clear accountabilities between core sustainability teams and embedded sustainability functions in other departments. Regular cross-functional collaboration mechanisms will prevent silos and enhance coordination.
Invest in strategic team building
Rather than focusing solely on headcount, airlines should prioritise strategic capability building within sustainability teams. With the trend toward mid-sized teams (3-5 people), ensuring these teams have diverse skill sets spanning carbon accounting, regulatory compliance, sustainable aviation fuel expertise, and stakeholder engagement will maximise their effectiveness.
Formalise sustainability leadership
With half of airlines now having a CSO and most considering this role ideal, carriers without dedicated sustainability leadership should evaluate establishing this position. For resource-constrained carriers, even a part-time or shared CSO role could signal commitment and provide necessary strategic direction.
Develop succession planning
The divergence between current and ideal executive leadership suggests many airlines aspire to more dedicated sustainability governance. Developing sustainability leadership pathways and succession plans can help airlines transition toward their ideal state while building internal capabilities.
Enable cross-functional integration
The rising preference for embedding sustainability across the organisation (distributed teams) alongside dedicated expertise suggests airlines should focus on integration mechanisms. Regular sustainability forums, joint KPIs, and shared projects between sustainability specialists and operational teams can enhance effectiveness.
Currently, how many full-time equivalent staff work exclusively on sustainability?
HYBRID TEAM MODEL REMAINS DOMINANT, WHILE PREFERENCE FOR DEDICATED TEAMS IS INCREASING
OF SURVEYED AIRLINES NOW HAVE CHIEF SUSTAINABILITY OFFICERS Does your airline have a Chief Sustainability Officer? Ideally, which executive should be in charge of sustainability in your organisation?
Currently/Ideally, how is/should sustainability be conducted within the airline?
MID-SIZED TEAMS (3-5) EXPECTED TO GROW
How
Strategy and reporting
“Plans are nothing; planning is everything.”
– Dwight D. Eisenhower
This year’s survey reveals a pivotal transition in aviation sustainability governance. As airlines integrate climate concerns into their operations, reporting frequency, target validation, and scope expansion all point to an industry balancing regulatory pressures, stakeholder expectations, and operational realities in their quest for coherent decarbonisation strategies.
Key Findings
Intensification of sustainability monitoring
Target setting reality check
Expanded emissions focus
The most striking shift is in reporting frequency, particularly internal reporting. Monthly sustainability reporting more than doubled from 18% to 41% of airlines, while quarterly reporting decreased from 53% to 36%. This indicates sustainability metrics are being integrated into regular operational monitoring rather than treated as periodic review topics. Similarly, external reporting is diversifying, with quarterly reporting emerging as a significant new category (23% in 2025), though annual reporting remains predominant but declining (76% to 59%).
Net zero roadmap publication has remained relatively stable (47% to 45%), with a slight increase in airlines working on roadmaps (29% to 32%). The 2050 target year continues to dominate (71% to 73%), suggesting alignment with industrywide commitments. However, the emergence of "After 2050" targets (5% in 2025) and the new finding that 14% of airlines have adopted less aggressive targets versus only 9% becoming more ambitious signals growing realism about implementation challenges.
While Scope 1 (direct) emissions measurement has reached universal adoption (100% in 2025), the most significant progress is in targeting broader emissions categories. Scope 2 targeting increased substantially from 47% to 59%, and Scope 3 targeting rose from 41% to 55%. This indicates airlines are increasingly addressing their full carbon footprint beyond direct operations, though a gap remains between measurement and active reduction strategies.
Formal reporting growth
Interim target development
ESG/Sustainability report publication increased from 71% to 77%, with the "Planning to" category (12% in 2024) seemingly converting to active reporting. This trend reflects growing stakeholder expectations for transparency and the increasing integration of sustainability into formal corporate disclosure.
The 2025 data shows 36% of airlines have interim emissions reduction targets under development, while the percentage with established targets decreased. This suggests airlines are reassessing their near-term milestones as they gain practical experience with decarbonisation initiatives and better understand implementation timelines.
Recommendations for airlines
Strengthen target verification
The declining rate of SBTi verification is concerning for industry credibility. Despite last year’s offsets-based controversy around SBTi’s methodologies, airlines should prioritise obtaining third-party validation for their climate targets, even if it requires adjusting goals to align with science-based pathways. Verified targets provide stronger protection against greenwashing allegations and build stakeholder confidence.
Develop robust interim targets
With 2050 still decades away, airlines need meaningful interim targets to drive nearterm action and accountability. The significant percentage of airlines with targets under development (36%) suggests an opportunity to establish industry-wide interim milestones that balance ambition with achievability.
Integrate reporting systems
The shift toward more frequent internal reporting indicates sustainability is becoming operationalised. Airlines should invest in integrated data systems that enable realtime sustainability metrics alongside financial and operational KPIs, moving beyond sustainability as a separate reporting workstream.
Address the scope 3 implementation gap
While Scope 3 emissions measurement has reached 77%, only 55% of airlines are actively targeting these emissions for reduction. Airlines should develop concrete strategies to address value chain emissions, particularly focusing on sustainable aviation fuel procurement and supplier engagement.
Balance pragmatism with ambition
The increase in airlines adopting less aggressive targets reflects implementation realities, but risks undermining industry climate commitments. Airlines should maintain ambitious goals while developing more detailed, phased implementation plans that acknowledge technical and financial constraints.
Sustainability initiatives
“We are what we repeatedly do. Excellence, then, is not an act, but a habit.”
– Will Durant
The aviation industry continues to face mounting pressure to address its environmental footprint. Our survey shows airlines are pivoting toward practical solutions with immediate impact, increasingly favouring operational efficiencies over speculative technologies. This pragmatic turn reflects industry maturation, with carriers streamlining carbon strategies while reconsidering their approach to next-generation aircraft investment amid resource constraints.
Key Findings
Operational efficiencies taking centre stage
Retreat from next-generation fleet investments
While eco-piloting measures dominated in 2024 (implemented by 100% of surveyed airlines), 2025 saw weight reduction (95% adoption) and waste management (91% adoption) emerge as the leading focus areas. Perhaps most striking is the surge in recycling and upcycling initiatives, which were barely mentioned in 2024 but reached 82% adoption in 2025. This pivot suggests airlines are increasingly focusing on initiatives that offer both environmental benefits and potential cost savings.
One of the most significant changes observed is the dramatic reduction in airlines investing in next-generation aircraft technologies. In 2024, 41% of airlines reported some form of investment in future propulsion technologies. By 2025, this figure had dropped to just 14%. Hybrid-electric aircraft remained the most consistent focus area, maintaining the same absolute number of investors (3) despite the larger survey population in 2025. This retreat may reflect economic pressures, technological reality checks, or a strategic shift toward more immediate and achievable sustainability actions.
Evolution in carbon offset integration
More targeted offset project types
While the overall percentage of airlines offering voluntary carbon offsets remained relatively stable (76% in 2024 to 68% in 2025), how these options are presented to customers has evolved significantly. In 2024, separate landing pages were the preferred approach (53% of airlines). By 2025, integration directly within the booking path became the dominant method (45% of airlines), suggesting efforts to increase customer participation by reducing friction in the offset purchase process. The data also shows a small but notable increase in airlines that have discontinued their offset programmes (9% in 2025 vs 6% in 2024).
Perhaps reflecting increased scrutiny of offset quality, airlines are moving away from offering multiple types of carbon offset projects in favour of more specific initiatives. In 2024, 82% of airlines offered multiple types of offset projects. By 2025, this had decreased to just 27%, with specific focuses emerging on SAF acceleration (23%) and environmental projects like reforestation (18%). Notably, the percentage of airlines not offering any offset projects more than doubled, from 18% to 32%, potentially indicating growing reservations about traditional offsetting approaches.
Recommendations for airlines
Prioritise operational efficiency initiatives
Weight reduction and waste management initiatives are delivering both environmental and financial benefits. With widespread adoption across the industry, these approaches appear to offer strong ROI potential. Airlines should continue to expand these proven efficiency measures while exploring emerging opportunities in recycling and upcycling, which saw substantial growth between surveys.
Balance immediate actions with long-term technology investments
While next-generation aircraft will be crucial for aviation's sustainable future, the industry-wide pullback in investment suggests a need for pragmatism. Airlines should develop a balanced portfolio of short, medium, and long-term sustainability initiatives rather than over-committing to technologies that may be decades from commercial viability. In light of increasing scrutiny and potential regulatory changes, airlines should reassess their carbon neutralisation approaches. The significant shift toward SAF acceleration as an offset option aligns with industry priorities and may offer more tangible emissions reductions than traditional offsetting projects. The move away from combined approaches toward simpler, more focused strategies suggests a maturing perspective on emissions management.
Critically evaluate carbon offset strategies
Integrate offset options directly into the booking path
Rather than relying on separate landing pages, airlines should incorporate offset options directly into the customer booking experience. This approach is becoming the industry standard while separate landing pages have declined in popularity. Integration likely increases customer participation by making offsetting more accessible and frictionless.
Consider focusing on fewer, higher-quality offset projects
The dramatic shift away from offering multiple types of offset projects suggests airlines are discovering that quality matters more than quantity. Focusing on specific, high-integrity projects with clear benefits, such as environmental initiatives or SAF acceleration, may deliver more credible and valuable outcomes than maintaining a broad but shallow portfolio.
WEIGHT REDUCTION (95%) AND WASTE MANAGEMENT (91%) NOW LEAD
Eco-piloting measures
Waste management
Reduce single-use plastics
Recycling, upcycling
Weight
Operational efficiencies (Recycling, upcycling wasn't measured in 2024)
CARBON STRATEGIES ARE GETTING SIMPLIFIED
Carbon offsetting
FOCUS SOLELY ON OFFSETTING
NEXT-GEN AIRCRAFT INVESTMENTS HAVE PLUMMETED FROM 41% TO 14% WEIGHT REDUCTION IS FAVOURED OVER ECO-PILOTING
Neutralizing unavoidable emissions
CHARTS GO HERE
AIRLINES ARE FOCUSING THEIR OFFSETTING EFFORTS; MORE AIRLINES ARE MOVING AWAY FROM OFFSETTING
OFFSET INTEGRATION IS MOVING INTO THE BOOKING PATH
Separate landing page
Post-booking website msg
In booking path
Post-booking email
In mobile app
SAF adoption and outlook
“Every
great advance in science has issued from a new audacity of imagination.”
–
John Dewey
This expanded focus on SAF in the 2025 survey—which includes questions not asked in previous year’s survey—reflects the growing importance of sustainable fuels in the industry's decarbonisation efforts. With new questions exploring SAF uptake plans, production pathway feasibility, supply-demand dynamics, and regulatory approaches, the survey provides a more nuanced understanding of how airlines are navigating the complex SAF landscape. Our survey shows that the SAF landscape reveals a growing tension between ambitious goals and practical realities. Despite widespread consensus on its importance, adoption remains minimal while supply concerns intensify. Airlines are diversifying procurement strategies and favouring HEFA pathways near-term, while viewing synthetic fuels as the ultimate solution.
Key Findings
SAF adoption remains low but shows signs of growth
Supply constraints represent a critical challenge
While SAF usage remains modest across the industry, there are encouraging signs of growth. The percentage of airlines using 1-5% SAF increased from 0% in 2023 to 14% in 2024. Moreover, expectations for 2025 show continued optimism, with 9% of airlines planning to exceed 5% SAF usage for the first time. Despite these positive trends, the majority of carriers still use less than 1% SAF in their operations, highlighting the substantial gap between aspirations and implementation.
Perhaps the most concerning finding is the widespread scepticism about future SAF supply. A striking 81% of airlines believe that less than half of the projected 2030 SAF demand will actually be met by available production capacity, with the largest group (36%) expecting only 11-25% fulfillment. This supply pessimism is reinforced by airlines' assessment of industry commitments, with 77% disagreeing that current commitments are sufficient to drive necessary production investment, suggesting a significant "commitment gap".
HEFA dominates near-term outlook while e-fuels show long-term promise
Government intervention viewed as essential for scaling SAF
HEFA (Hydroprocessed Esters and Fatty Acids) using waste oils is both the highest-rated pathway for long-term feasibility (4.2/5) and the most commonly predicted dominant production pathway by 2030 (45%). This preference for HEFA likely reflects its status as a mature, commercially available technology. Interestingly, Power-to-Liquid/e-fuels ranked second in both long-term feasibility (3.9/5) and predicted 2030 dominance (27%), suggesting airlines see significant potential for synthetic fuels to scale, particularly as renewable electricity becomes more abundant.
Airlines strongly favour regulatory approaches to accelerate SAF adoption, with blending mandates (41%) and tax incentives for producers (32%) seen as the most effective mechanisms. This preference for policy intervention reflects a recognition that market forces alone are insufficient to overcome SAF's cost premium and supply limitations.
Recommendations for airlines
Develop balanced SAF procurement strategies
Airlines should follow the emerging industry trend toward diversified SAF procurement strategies that include both biofuels and synthetic fuels. This approach helps manage supply risks and positions carriers to benefit from advances across multiple production pathways.
Increase focus on SAF supply chain development
Given the widespread concern about SAF supply constraints, airlines should look beyond traditional offtake agreements to more actively participate in SAF supply chain development. This could include strategic investments, partnerships, or joint ventures with SAF producers to secure preferential access to limited supplies.
Advocate for supportive policy frameworks
As blending mandates and tax incentives are viewed as the most effective means to accelerate SAF adoption, airlines should coordinate their advocacy efforts to promote these mechanisms in key markets. A harmonised global approach to SAF policy would be particularly beneficial in addressing competitiveness concerns.
Invest in capability building
The relatively low familiarity with emerging SAF producers (beyond established players like Neste and Shell) highlights an opportunity for airlines to build deeper expertise in SAF technologies and supply landscapes. Dedicated SAF teams with technical and commercial capabilities will be increasingly essential for navigating the complex SAF market.
SAF UPTAKE REMAINS BELOW 1% FOR MOST, BUT 14% ARE NOW USING 1-5% (UP FROM 0%)
73% HAVE FORMAL SAF UPTAKE PLANS; MOST ARE TARGETING 10% BY 2030
What % of SAF comprised your operations in previous year?
36% PURSUING BOTH BIOFUELS AND SYNTHETIC FUELS INDICATING DIVERSIFICATION
DO YOU HAVE A SAF UPTAKE PLAN?
Are any of your sustainability initiatives focused on
sustainable aviation fuel (SAF)?
"FUEL OF THE FUTURE"
< 10%
BELIEVE <50% OF 2030 SAF DEMAND WILL BE MET
41% VIEW BLENDING MANDATES AS THE MOST EFFECTIVE ACCELERATION MECHANISM
Passenger-funded SAF premiums Corporate sustainability commitments 81%
Blending mandates
Tax incentives for producers
Carbon pricing mechanisms
In your view, what percentage of projected 2030 SAF demand will actually be met by production capacity?
Which approach would most effectively accelerate SAF adoption in the aviation industry?
HEFA RATED HIGHEST FOR FEASIBILITY (4.2/5) AND 2030 DOMINANCE (45%)
4.2
HEFA using waste oils
3.4
Fischer-Tropsch using municipal solid waste
3.9 Power-to-Liquid/e-fuels
3.1 Fischer-Tropsch using biomass
Please rate each SAF production pathway on a scale of 1–5 in terms of long-term feasibility
3.6 ATJ using waste/residuederived ethanol
2.8 ATJ using crop-based ethanol
SUSTAINABLE AVIATION OUTLOOK REPORT 2025
Perception and communication
“What you do speaks so loudly that I cannot hear what you say.”
– Ralph Waldo Emerson
Communication strategies are becoming more cautious as airlines navigate increasing scrutiny of environmental claims. Our findings show that over the past year, airlines have recalibrated their understanding of stakeholder priorities, adjusted their communication strategies, and developed more sophisticated approaches to sustainability measurement. These changes suggest a maturing sustainability function within airlines that is becoming both more structured and more cautious.
Key Findings
Perceived stakeholder interest has decreased
Growing concerns about greenwashing
Across all stakeholder groups, airlines reported a consistent downward shift in how important they believe sustainability is to these groups. This pattern is evident with customers, employees, board members, suppliers, communities, and governments, where responses have generally shifted from "Very Important" to "Important" or from "Important" to "Somewhat Important." The most notable change is with customers, where some airlines now view sustainability as "Not Important" to this group, a rating that didn't appear in 2024. Board members and communities show particularly dramatic decreases in "Very Important" ratings, though they maintain high overall importance. This recalibration likely reflects either a more realistic assessment of stakeholder priorities in challenging economic times or an actual shift in stakeholder sentiment as other concerns take precedence.
Airlines have become significantly more cautious about their sustainability communications, with a dramatic increase in concerns about greenwashing accusations. The proportion expressing mild caution has increased substantially, while those willing to openly discuss sustainability initiatives has decreased sharply. Interestingly, a small percentage of airlines now report no impact from greenwashing concerns, suggesting some resistance to excessive caution despite the growing debate.
More structured internal approaches
Selective external communication
Despite the perceived decline in stakeholder interest, airlines are investing in more structured sustainability programs. Sustainability leader networks have seen significant growth, training and seminars have slightly increased, and more formalised partnerships with climate groups have developed. This suggests a maturing approach to sustainability management within organizations even as external communications become more restrained.
In their external communications, airlines continue to be selective about sustainability messaging. Focus on major initiatives remains the predominant strategy, with a slight increase in airlines that occasionally communicate. The proportion of airlines not communicating about sustainability at all has slightly increased, reflecting the growing tension between transparency and concerns about greenwashing accusations.
Recommendations for airlines
Recalibrate communication strategies
Given the increased caution around greenwashing, airlines should develop more nuanced communication approaches. This means focusing on factual, verifiable achievements rather than aspirational claims that may invite scepticism. Airlines would benefit from communicating incremental progress through specific, measurable milestones, avoiding sweeping statements about future goals without clear pathways. Third-party validation can also build credibility.
Invest in stakeholder education
The perceived decline in stakeholder interest presents an opportunity for airlines to develop targeted education campaigns that help stakeholders understand the relevance of sustainability to their specific concerns. Communications should be segmented based on different stakeholder priorities and interests. Framing sustainability in terms of specific benefits to each stakeholder group—whether cost savings, risk reduction, or reputation enhancement—will make messages more compelling.
Strengthen internal capacity
The growth in sustainability leader networks shows promise, but airlines should ensure these networks have proper authority and resources to effect real change. Internal sustainability structures should be connected to corporate strategy and operational departments rather than functioning as isolated initiatives. Standardising sustainability metrics across the organisation ensures consistent measurement and reporting, allowing for better tracking of progress and more coherent communication both internally and externally.
Embrace measurement sophistication
The trend toward more nuanced measurement should be accelerated, moving beyond simple binary Yes/No frameworks for impact assessment. Airlines should work toward developing industry-standard measurement approaches that enable meaningful comparison across the sector. Integration of sustainability metrics into broader business performance indicators will help sustainability considerations become part of mainstream decision-making.
Foster industry collaboration
With fewer airlines willing to openly discuss sustainability due to greenwashing concerns, the industry should create safe forums for sharing best practices without fear of accusations. Collaboration on industry-wide measurement standards would benefit all carriers while reducing the burden of developing proprietary approaches. Collective approaches to stakeholder education could also help shift perceptions more effectively than individual airline efforts.
% of respondents who say sustainability is “very important” to each stakeholder group
GREENWASHING CONCERNS ARE RISING: "SOMEWHAT CAUTIOUS" UP FROM 35% TO 59%
SUSTAINABILITY LEADER NETWORKS GROWING (6% TO 20%)
Have greenwashing concerns made you more cautious about communicating sustainability initiatives?
Methods used to ensure sustainability awareness within organizations
CLIMATE GROUP PARTNERSHIPS HAVE INCREASED FROM TO
How airlines engage with climate groups and NGOs 35% 45%
Budget and investment
“Only those who will risk going too far can possibly find out how far one can go.”
– T.S. Eliot
Our survey reveals significant shifts in how airlines are financing and prioritising their sustainability initiatives. This analysis comes at a critical juncture for the aviation industry as it navigates the challenging path toward its 2050 net-zero commitment against a backdrop of post-pandemic recovery, regulatory pressures, and technological constraints.
The financial foundations of airline sustainability are evolving dramatically, with a clear pivot from SAF investment toward fleet renewal. This shift reflects a preference for immediate efficiency gains while facing persistent resource constraints. Despite growth in sustainability budgets, allocation levels remain modest with accountability mechanisms still developing.
Key Findings
Limited budget allocation persists
Budget growth slowing but still positive
The majority of airlines that disclosed their sustainability budget allocation continue to dedicate only a small fraction of overall spending to this area. In 2025, 36.4% of respondents allocate less than 1% of their annual budget to sustainability initiatives, similar to the 58.8% observed in 2024. While we see slight increases in the 3-5% and 5-10% categories (4.5% each), no airlines reported allocations exceeding 10% in 2025, compared to 17.6% in 2024. Notably, 45.5% of respondents preferred not to disclose their budget allocation in 2025, a significant increase from zero in 2024. This growing reluctance to share financial information may reflect increased sensitivity around sustainability investments or competitive considerations.
A majority of airlines (63.6%) report sustainability budget increases in 2025, with 22.7% seeing significant increases and 40.9% reporting moderate increases. However, we also observe the emergence of budget decreases (4.5%) and non-disclosure (27.3%), suggesting that while growth continues, it may be slowing or becoming more uneven across the industry.
Shift in investment priorities
Persistent barriers with evolving challenges
Perhaps the most notable change between 2024 and 2025 is the substantial pivot in investment priorities. While SAF companies dominated investment in 2024 (64.7%), fleet renewal has emerged as the overwhelming focus in 2025 (81.8%). This suggests airlines may be prioritising near-term efficiency gains through newer aircraft over longer-term fuel solutions. Notably, carbon removal investments increased from 5.9% to 18.2%.
High costs (86.4%) and technological limitations (72.7%) remain the dominant obstacles to sustainability progress in 2025, consistent with 2024 findings. However, regulatory challenges have increased in prominence (41.2% to 54.5%), and concerns about profitability have grown (23.5% to 36.4%). The 2025 survey also identified new significant barriers including limited internal resources (36.4%) and lack of industry collaboration (27.3%). Interestingly, communication challenges and lack of C-level support highlighted in 2024 were not prominent in 2025, potentially suggesting improved organisational alignment.
Recommendations for airlines
Integrate sustainability into core financial planning
The persistent low budget allocations indicate sustainability may still be treated as a peripheral rather than core business concern. Airlines should consider integrating sustainability metrics into their mainstream financial planning and capital allocation processes, potentially leveraging green financing instruments to expand available resources.
Strengthen accountability frameworks
With over a third of airlines lacking formal accountability mechanisms for sustainability, there is substantial opportunity to develop robust KPIs and incentive systems that align organisational behavior with environmental goals. Linking executive compensation to sustainability performance could accelerate progress.
Balance short and long-term investments
While the pivot toward fleet renewal may deliver immediate efficiency gains, airlines should maintain diversified investment portfolios that include longer-term solutions like SAF, electric, and hydrogen technologies. A balanced approach between short-term wins and transformative technologies will be critical for meeting 2050 goals.
Enhance industry collaboration
The emergence of "lack of industry collaboration" as a significant barrier suggests airlines may benefit from strengthening cooperative frameworks around shared sustainability challenges, particularly around SAF development and scaling emerging technologies, where individual airline action may have limited impact.
Address resource constraints
With limited internal resources identified as a key obstacle, airlines should consider innovative resourcing approaches, including cross-industry partnerships, academic collaborations, and specialised sustainability talent development programs.
OVER ONE-THIRD ALLOCATE <1% OF BUDGET TO SUSTAINABILITY (SIMILAR TO 2024)
Prefer
PROMISINGLY, 63.6% REPORTED SUSTAINABILITY BUDGET INCREASES
Have you seen an increase in the budget for sustainability over the past one year?
Do you have an internal
sustainability initiatives?
or staff KPIs
CONCLUSION
NAVIGATING THE ROAD TO NET ZERO
“The greatest threat to our planet is the belief that someone else will save it.”
– Robert Swan
The 2025 Sustainable Aviation Outlook Survey reveals an industry at a pivotal juncture in its decarbonisation journey. The findings paint a picture of an airline sector becoming more pragmatic and focused in its sustainability approach— adopting an evolving strategy that balances immediate gains against long-term transformation.
The dramatic shift from SAF investment toward fleet renewal represents perhaps the most significant trend, reflecting airlines' growing preference for tangible, immediate efficiency improvements over still-developing fuel alternatives. This strategic recalibration occurs against a backdrop of persistent challenges, with high costs, technological limitations, and regulatory complexities continuing to constrain progress.
Nevertheless, the industry is demonstrating increasing organisational maturity around sustainability. The continued prevalence of hybrid team structures, growth in monthly reporting, and expansion of sustainability measurement all point to deeper integration of environmental considerations into airline operations. The fact that 63.6% of airlines report sustainability budget increases despite economic pressures further underscores this commitment.
Yet tension remains between aspiration and implementation. While 73% of airlines have SAF uptake plans, actual usage remains minimal. Similarly, the perception of declining stakeholder interest coupled with growing caution around greenwashing raises questions about how effectively airlines are communicating their sustainability efforts and progress.
Looking ahead, several priorities emerge for airlines seeking to advance their sustainability journey:
Develop balanced investment portfolios that combine immediate efficiency gains with strategic positioning for longer-term transformation;
Strengthen accountability mechanisms through robust KPIs and incentives that align organisational behaviour with environmental goals;
Enhance industry collaboration to address common challenges, particularly around SAF supply development;
Adopt more sophisticated communication strategies that transparently address both progress and challenges;
Advocate for supportive policy frameworks that can accelerate industrywide transition.
The road to net-zero aviation remains challenging, but this year's survey suggests airlines are increasingly finding practical pathways forward while maintaining their long-term commitment to a sustainable future for air travel.
APPENDICES
LIST OF PARTICIPATING AIRLINES
Air France - KLM
Air India
airBaltic
Alaska Airlines
All Nippon Airways
Arajet
Avianca
Azerbaijan Airlines
Cathay Pacific
Cebu Pacific Air
China Airlines
Czech Airlines
Etihad Airways
Finnair
International Airlines Group
Lufthansa Group
Pegasus Airlines
Porter Airlines
Virgin Australia
Qantas Airways
Transavia
TUI Airline
A NOTE ON THE DATA
Our 2025 Sustainable Aviation Outlook Survey expands upon our inaugural research, with participation growing from 17 to 22 airlines. This enhanced sample provides stronger representation while establishing valuable year-on-year trend data across six key dimensions of airline sustainability.
When interpreting these findings, please consider the following contextual factors:
Industry transformation: Results reflect both individual airline journeys and broader sector developments during a period of rapid change.
Global diversity: While presented as aggregate findings, responses encompass varying regional contexts, regulatory environments, and market situations.
Methodological refinements: Some 2025 survey questions feature enhanced response options or clarified terminology to improve data quality, which should be considered when examining year-over-year trends.
Despite inherent limitations in survey research, this report offers current, comprehensive intelligence on airline sustainability priorities, challenges, and strategies. The consistent methodology across core questions and expanded sample create a reliable foundation for the insights and recommendations presented.
PARTNER
Special thanks to Envest Global for the rich and comprehensive data that has further helped us paint a vivid picture of the current aviation landscape.
Envest Global is a global sustainability advisory company specialising in the analysis and benchmarking of the sustainability credentials of the world’s leading airlines based on robust, independent performance data.
GLOSSARY OF KEY TERMS
This glossary covers the main terms and abbreviations used throughout the document.
• Biofuels: Renewable fuels derived from biological materials such as plant oils, agricultural waste, or other organic matter.
• Carbon Neutralisation: Strategies to balance carbon emissions with an equivalent amount of carbon removal or offsetting.
• Carbon Offsetting: The practice of compensating for carbon emissions by funding projects that reduce or remove carbon elsewhere.
• Carbon Removal: The direct extraction of carbon dioxide from the atmosphere, stored permanently through various technologies or natural approaches.
• Chief Sustainability Officer (CSO): An executive-level position responsible for leading an organization's sustainability strategy and initiatives.
• Decarbonisation: The process of reducing carbon emissions with the long-term goal of eliminating carbon dioxide emissions entirely.
• Direct Carbon Removal: Technologies or methods that physically extract carbon dioxide from the atmosphere.
• Distributed Team: An organizational structure where sustainability responsibilities are embedded across different departments rather than concentrated in a single team.
• E-fuels: Synthetic fuels produced by combining hydrogen (generated using renewable electricity) with captured carbon dioxide.
• Eco-piloting: Flying techniques designed to minimise fuel consumption and emissions, including optimized ascent/descent profiles and reduced engine taxiing.
• ESG (Environmental, Social, and Governance): A framework used to evaluate an organization's environmental and social impacts alongside its governance structure.
• Fleet Renewal: The process of replacing older aircraft with newer, more fuelefficient models.
• Greenwashing: The practice of making misleading or unsubstantiated claims about the environmental benefits of a product, service, or company policy.
• HEFA (Hydroprocessed Esters and Fatty Acids): A biofuel production process that converts oils and fats into aviation fuel; currently the most common SAF production pathway.
• Hybrid Sustainability Team: An organizational structure featuring a dedicated core sustainability team working with members across various departments.
• Hybrid-electric Aircraft: Aircraft that use both conventional fuel engines and electric motors for propulsion.
• Interim Targets: Short or medium-term emissions reduction goals that serve as milestones toward longer-term targets like net-zero.
• Key Performance Indicators (KPIs): Measurable values that demonstrate how effectively an organization is achieving key business objectives, including sustainability goals.
• Net-zero: A state in which the greenhouse gases going into the atmosphere are balanced by their removal, with the goal of preventing further climate change.
• Power-to-Liquid: A technology that converts renewable electricity into liquid fuels by combining hydrogen (produced via electrolysis) with captured carbon dioxide.
• SAF (Sustainable Aviation Fuel): Alternative aviation fuels that offer reduced lifecycle carbon emissions compared to conventional jet fuel, produced from sustainable resources.
• SBTi (Science Based Targets initiative): A partnership providing companies with a clearly-defined path to reduce emissions in line with Paris Agreement goals.
• Scope 1 Emissions: Direct greenhouse gas emissions from sources owned or controlled by an organization (e.g., aircraft fuel burn).
• Scope 2 Emissions: Indirect emissions from the generation of purchased energy (e.g., electricity used in facilities).
• Scope 3 Emissions: All other indirect emissions that occur in a company's value chain (e.g., business travel, supplier activities).
• Sustainability Budget: Financial resources allocated specifically to environmental initiatives and programs.
• Synthetic Fuels: Artificially created fuels produced by chemical synthesis, often referring to e-fuels in aviation contexts.
• Upcycling: Converting waste materials or unwanted products into new materials or products of better quality or environmental value.
• Weight Reduction: Initiatives to decrease aircraft weight through lighter materials, reduced onboard items, or design changes to improve fuel efficiency.
Listen to more insights on our podcast
Hosted by SimpliFlying CEO and Founder Shashank Nigam, Sustainability in the Air is the world’s leading sustainable aviation podcast.
Over the past year, aviation guests have included Scott Kirby (United Airlines), Marie Owens Thomsen (IATA), Tim Clark (Emirates), Amelia DeLuca (Delta Air Lines), Amy Burr (JetBlue Ventures), Adam Goldstein (Archer), Bonny Simi (Joby) and Nathan Millecam (Electric Power Systems).
Listen and subscribe to the podcast here:
green.simpliflying.com/podcast
Meanwhile, our Sustainability in the Air website includes weekly articles on sustainable aviation tech startups; reports on subjects as diverse as SAF and eVTOLs; and regular newsletters read by thousands of industry professionals to understand the ever-evolving space of sustainable aviation and the industry’s potential pathways to net zero by 2050.
Climate change concerns are making the aviation industry turn to sustainable aviation fuel (SAF), electric, and hydrogen-powered aircraft to cut emissions. However, scaling these technologies requires significant innovation.
Sustainability in the Air Volume One & Two highlight the journeys of entrepreneurs, executives, and investors who are navigating these challenges and paving the way for the future of aviation.
Learn more at simpliflying.com/sita
