In a landmark move toward a cleaner future for air travel, the Oneworld Alliance has teamed up with Breakthrough Energy Ventures (BEV), the climate-focused investment firm founded by Bill Gates, to launch a dedicated fund aimed at scaling Sustainable Aviation Fuel (SAF) technologies.
The Oneworld BEV Fund, backed by investments from American Airlines and Alaska Airlines, will focus on accelerating the development and commercialization of next-generation aviation fuels. The primary objective is to provide deep emissions cuts while remaining cost-competitive and globally scalable.
The new fund represents a united effort across the aviation sector to tackle one of its hardest challenges: decarbonizing air travel. Beyond funding emerging SAF innovators, the initiative seeks to:
Oneworld’s chair and American Airlines CEO Robert Isom emphasized that this is not only a sustainability commitment but also a strategic business decision. By enabling new SAF technologies to scale efficiently, airlines can lower future operating costs and meet rising demand for low-carbon travel.
Part of the problem the SAF industry currently faces is matching supply in an exponentially increasing demand infrastructure.
A recent analysis from the International Air Transport Association (IATA) paints a clear picture. Following current production capacities and scaled for time, the IATA predicts that SAF will produce about 412 million tons a year of SAF by 2050. However, anticipated demand based on mandated usage, governmental regulations, and other factors places the total required SAF at 500 million tons/year to meet that demand.
The initiative brings together a broad coalition of Oneworld members. These include the International Airlines Group (IAG), Cathay Pacific, and Japan Airlines. Additional participation also comes from Singapore Airlines, underscoring that SAF advancement is a shared industry goal rather than a point of competition.
Oneworld CEO Nat Pieper described the partnership as a way to “solve problems at scale,” aligning airlines and innovators in a common effort to transform aviation’s energy landscape.
Breakthrough Energy Ventures will serve as the investment manager for the fund. The company will bring its renowned technical expertise and track record in climate-tech incubation.
BEV’s involvement ensures rigorous scientific due diligence and strategic support for startups developing SAF feedstocks, production pathways, and enabling technologies.
By leveraging BEV’s deep resources and global network, the partnership aims to accelerate technologies that can deliver the greatest real-world impact. In turn, this will help aviation meet its net-zero goals while fostering commercially viable energy solutions.
IAG CEO Luis Gallego highlighted SAF as “the most viable pathway” for the aviation industry’s decarbonization journey. He also called for supportive policy frameworks to attract capital investment and enable the infrastructure needed to scale SAF production worldwide.
With governments, investors, and airlines now increasingly aligned, the Oneworld BEV Fund marks a new phase of pragmatic collaboration. To address the challenges of SAF's future, this pursuit must focus not just on commitments but on concrete, scalable action.