China Includes Sustainable Aviation Fuel Projects in National Investment Plan

On October 14, 2025, China’s National Development and Reform Commission (NDRC) issued the Administrative Measures for the Central Budgetary Investment Special Fund for Energy Conservation and Carbon Reduction, officially listing Sustainable Aviation Fuel (SAF) projects among the key areas eligible for central government funding.

Under the category of “Low-Carbon, Zero-Carbon, and Negative-Carbon Demonstration Projects,” the document states:

“Support the demonstration and application of advanced green and low-carbon technologies. Support the construction and transformation of energy supply and infrastructure for zero-carbon parks and transport corridors. Support the production of green methanol and sustainable aviation fuel projects.

According to the policy, SAF projects may receive up to 20% of their approved total investment from central budgetary funds.

This marks the first time SAF has been explicitly included in China’s national investment framework, signaling a strong policy commitment to advancing low-carbon fuels. The move is expected to accelerate domestic SAF commercialization, enhance waste-oil and residue utilization, and help the aviation sector achieve carbon-reduction goals.