END OF TIRUERT FOR JET FUEL – WELCOME REFUELEU AVIATION!
The Incentive Tax on the Use of Renewable Energy in Transport (TIRUERT) was designed to encourage the integration of renewable energy into the transport sector. This French fiscal mechanism, classified as a "behavioral tax," set annual renewable energy incorporation targets for suppliers of gas oil, petrol, and jet fuel. If suppliers met or exceeded these targets, the tax was not due.
For the jet fuel sector, TIRUERT mandated an incorporation rate of 1.5% in 2024, increasing to 2% in 2025. However, the 2025 Finance Law abolished this scheme due to the implementation of Regulation (EU) 2023/2405 on January 1, 2025—better known as the ReFuelEU Aviation Regulation.
From now on, aviation fuel suppliers must comply with a unified EU-wide regulatory framework, which sets progressive incorporation targets for Sustainable Aviation Fuel (SAF) and synthetic aviation fuels. This regulation also introduces strict reporting obligations and financial penalties for non-compliance.
SAF and Synthetic Aviation Fuel Incorporation Targets
Aviation fuel suppliers must ensure that jet fuel blends used at EU airports contain a minimum proportion of SAF starting in 2025 and a minimum share of synthetic aviation fuel from 2030. These targets will increase gradually until 2050:
2025: Minimum SAF share of 2%, increasing to 70% by 2050.
2030: Minimum synthetic aviation fuel share of 0.7%, rising to 35% by 2050.
SAF Definition and Compliance Criteria
To be counted towards incorporation targets, SAF must comply with the Renewable Energy Directive (Directive (EU) 2018/2001) and meet sustainability and emission reduction criteria. SAF includes:
Bio-based aviation fuels – Derived from waste and residues, including advanced biofuels.
Synthetic aviation fuels – Produced using renewable hydrogen.
Carbon-recycled aviation fuels – Derived from carbon capture and recycling technologies.
Reporting Obligations for Aviation Fuel Suppliers
Starting in 2025, aviation fuel suppliers must submit annual data by February 14 to the EU database (Article 31a of Directive (EU) 2018/2001), including:
The total quantity of aviation fuel supplied at each EU airport (in tons).
The amount of SAF supplied, categorized by SAF type (in tons).
Details on production processes, feedstock origins, and lifecycle emissions.
The aromatic, naphthalene, and sulfur content of the aviation fuel supplied.
The energy content of both conventional aviation fuel and SAF.
Cooperation and Information Obligations Under ReFuelEU Aviation
Cooperation with Airport Managing Entities
Airport managing entities must ensure aircraft operators have access to aviation fuel with the required SAF share.
If issues arise, competent authorities may request evidence of compliance from airport operators.
Aviation fuel suppliers must cooperate, provide necessary documentation, and implement corrective measures if needed.
Reporting Requirements for Aircraft Operators
By March 31 each year (starting in 2025), aircraft operators must submit a report to competent authorities and EASA (European Union Aviation Safety Agency), detailing:
The total aviation fuel uplifted.
SAF purchase details (quantities, characteristics, and feedstock origins).
Supplier names.
Lifecycle emissions of the SAF used.
To facilitate compliance, aviation fuel suppliers must provide this information to aircraft operators free of charge by February 14 each year.
Financial Penalties for Non-Compliance
Unlike TIRUERT, which only required a tax payment for non-compliance, the ReFuelEU Aviation Regulation enforces financial penalties for failing to meet SAF and synthetic fuel targets. Member States are responsible for defining penalties, which must be proportionate yet dissuasive.
Penalties for SAF Incorporation Shortfalls
The fine is at least twice the price difference between conventional aviation fuel and SAF, multiplied by the missing SAF amount.
Penalties for Synthetic Fuel Incorporation Shortfalls
The fine is at least twice the price difference between conventional aviation fuel and synthetic aviation fuel, multiplied by the deficient amount.
Penalties for False or Inaccurate Reports
Providing false SAF information results in a fine at least twice the price difference between conventional aviation fuel and SAF, multiplied by the affected fuel volume.
Shortfall Compensation Mechanism
Beyond financial penalties, aviation fuel suppliers must compensate for any SAF or synthetic fuel shortfalls in subsequent years. Specific rules apply for synthetic fuel shortfalls:
Shortfalls from 2030–2031 must be compensated by end of 2034.
Shortfalls from 2032–2034 must be compensated in the next reporting period.
This transition from TIRUERT to ReFuelEU Aviation marks a major shift towards harmonized SAF regulations across the EU, ensuring greater sustainability and accountability in the aviation sector.
