Industry Insights with Ralf Diemer, CEO, eFuel Alliance
Ralf Diemer
Chief Executive Officer
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eFuel Alliance
In this exclusive interview, Ralf Diemer, the CEO of eFuel Alliance answers a round of quickfire-questions on lessons aviation can learn from efuel adoption in other sectors, from policy support to overcoming technical and financial hurdles.
Please share some information about eFuel Alliance's work across sectors - our readers may well be familiar with you in relation to aviation, but what about beyond aviation?
The eFuel Alliance is committed to advancing renewable fuels not only in aviation but across all modes of transport and within the chemical industry. Our advocacy spans the entire value chain of renewable fuels. We firmly believe that a cross-sectoral approach offers the most effective pathway to accelerating the deployment of hydrogen and its derivatives. By enabling the use of eFuels across all sectors through supportive regulatory frameworks, we can drive economies of scale and expedite cost reductions, particularly for critical industries such as aviation and maritime transport.
Which policies or incentives in other sectors have been most effective in driving the development and use of eFuels, and how could these be adapted for aviation?
To date, no incentives for renewable fuels have been implemented. The most effective governmental support for fostering market growth is currently provided by the Inflation Reduction Act in the United States. Japan stands out as the only country globally to have introduced a dedicated eFuels strategy. In Europe, the most significant leverage lies in the Renewable Energy Directive and the Energy Taxation Directive. These regulatory frameworks play a dual role: they define the share of renewable energy within the transport system and serve as a powerful mechanism to bridge the cost gap between fossil-based and renewable fuels.
What strategies have other industries employed to overcome the technical and financial hurdles of scaling eFuel production?
The market ramp-up is being substantially impeded, especially in Europe, by overly restrictive and narrowly focused regulatory frameworks. In particular, the exclusive emphasis on an all-electric approach limits the ability to swiftly scale the supply of renewable fuels. Other industries have not yet been able to fully overcome these obstacles either. All demand-driven sectors continue to face the pressing challenge of driving the market ramp-up forward.
Can you share examples of successful collaborations across value chains in other sectors that could serve as a blueprint for aviation?
An example of cross-sector collaboration is the "Clean Maritime Fuels Platform," which brings together stakeholders such as shipping companies, technology providers, and regulators to establish standards and production capacities for renewable maritime fuels. Such platforms could serve as a blueprint for aviation to collectively address production, distribution, and application challenges.
What would be your headline takeaway, for the aviation sector?
Align closely with the road transport sector, as it represents your most significant leverage point for efficiently and cost-effectively addressing the demand for eKerosene.