IATA accuses suppliers of 'price gouging' on EU-mandated green jet fuel, urges policy reform

IATA says fuel suppliers are exploiting EU green-jet-fuel mandates by tacking on surcharges that nearly double prices versus market rates, calling the practice 'price gouging' and urging policymakers to reform mandates and procurement rules to protect airline operating costs.

Discovered 2025-10-13T04:24:24.099559-07:00 | 2025-10-13T04:24:24.099559-07:00

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IATA reports suppliers are adding surcharges that nearly double green jet fuel prices versus market rates, directly increasing airlines' fuel spend and compressing margins.
Elevated SAF costs compound other decarbonisation headwinds, including a global carbon credit shortage and warnings about insufficient SAF policy signals to scale production.
The dispute comes as the EU weighs timing and design of fuel-related levies and mandates, including a proposal to delay aviation fuel taxes, raising the prospect of near-term regulatory changes that would affect procurement, pricing and investment in SAF supply chains.

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