S&P says European airlines to “feel the pinch” as regulators push for SAF

Europe’s air passengers will face higher fares as airlines deal with “significant related costs” from replacing fossil fuels with sustainable aviation fuels (SAF), according to Standard & Poor’s Global Ratings. And while the continent’s “stronger carriers” will likely be able to pass much of the cost on to travellers, weaker airlines will see their credit ratings come under pressure from tougher emissions regulations compared to those faced by international rivals. “Europe’s regulations are both stricter and more expensive than elsewhere, meaning that airlines ferrying travellers within the region pay more for burning fossil fuels than those operating beyond its borders,