Sustainable Solutions in the Aviation Industry : A scenario analysis of electrified aircrafts, sustainable aviation fuels and carbon offsetting

University essay from KTH/Skolan för industriell teknik och management (ITM); KTH/Skolan för industriell teknik och management (ITM)

Abstract: Global warming is an issue that affects the entire world. The aviation industry accounts for around three percent of global emissions, and actions are needed to help steer the industry towards a sustainable transition with new technologies and alternative aviation fuels to reduce emissions. There are options today for passengers to compensate flight emissions through carbon offsetting. The purpose of this report is to investigate how the aviation and carbon offset industries are likely to develop in the future in order to provide knowledge that an air travel comparison site can use to adapt its carbon offset alternative to new market conditions. The empirical data in this study consist of interviews with stakeholders in the aviation and carbon offset industries as well as a politician. Industrial reports and a literature review were used in combination with the empirical data and analyzed with theories such as industrial dynamics, network innovation and scenario analysis to result in a possible future scenario of the industries. Further, conclusions with necessary actions in order to develop a more sustainable aviation industry and how carbon offsetting can be renewed due to a sustainable aviation transition. Additionally, managerial implications for an air travel comparison site followed with suggestions on how they can contribute to this transition. The conclusions from this study are to develop existing networks and establish new ones to share knowledge from many different stakeholders in the industry and use their capabilities to propose regulatory changes as well as prepare the industry for sustainable solutions in the future. Networks should also use their collective power to lobby for changes that will drive the transition towards a more sustainable aviation industry forward. The broad expertise that these networks possess can be used to provide customers with knowledge to make the option to carbon offset a flight more attractive. It is important that knowledge and marketing of carbon offsetting is transparent to inform customers of its effects on the climate. Biofuels and electrified aircrafts are sustainable solutions more suitable for the future due to the high price of biofuels and electrified aircrafts not ready to replace regular jet-aircrafts. Thus, carbon offsetting is the best option to reduce net emissions from a flight today. The short-term recommendations are for an air travel comparison site to be involved in the transition towards more sustainable aviation fuel by offering customers the option to purchase biofuel together with or as an alternative to carbon offset when booking a flight. An air travel comparison should also support organizations and firms working with sustainable solutions such as introduction of electrified aircrafts, through partnerships or investments to help steer the industry in a sustainable direction. The long-term recommendation for an air travel comparison site is to continuously stay updated with the latest research and knowledge expertise within the industry to adapt its carbon offset alternative to new conditions in the future. This study is to be considered as an informational foundation for an air travel comparison site to adapt its carbon offset alternative to a dynamic aviation industry. However, the study does not include empirical data from all stakeholders within the aviation industry hence the information used in this study is limited.

  AT THIS PAGE YOU CAN DOWNLOAD THE WHOLE ESSAY. (follow the link to the next page)