Regulatory Alert: DOT to Host Meeting on New Sustainable Aviation Fuel and Low-Emissions Aviation Technology Grant Program
November 28, 2022
The U.S. Department of Transportation (DOT) and Federal Aviation Administration (FAA) will be hosting a hybrid meeting on Wednesday, December 14, to discuss implementation of a new grant program that will provide $297 million in funding for projects that promote the production and use of sustainable aviation fuels (SAFs) and low-emissions aviation technologies. Congress created the new grant program, called “Fueling Aviation's Sustainable Transition through Sustainable Aviation Fuels (FAST-SAF) and Low Emissions Aviation Technology (FAST-Tech),“ through the Inflation Reduction Act (IRA), which was signed into law in August. 
Airport sponsors are eligible for funding under the grant program and highly encouraged to attend the meeting if they are interested in participating and applying. We expect that DOT and FAA will provide additional details regarding how airports and other eligible entities can apply and how they plan to implement the program. The meeting will occur in person at DOT headquarters in Washington, D.C., and be livestreamed. You can find more details and the registration form here. 
Background on Grant Program. The IRA, which was signed into law by President Biden in August, provided DOT with $297 million to carry out a competitive grant program that will fund projects aimed at advancing the production and use of SAFs and low-emissions aviation technologies. As outlined in our August 12 Airport Alert, the following are additional details about the program: 
• Eligible Entities: Entities that are eligible to participate in the grant program include state and local governments, airport sponsors, for-profit companies, research institutions, and non-profits. 
• Funding Breakdown: The IRA provides $244.5 million for projects related to the production, transportation, blending, or storage of SAFs; $46.5 million for projects related to low-emission aviation technologies; and $5.9 million for DOT to administer and provide oversight of the program. 
• Project Considerations: When selecting projects, DOT must consider the following factors: (a) capacity to increase domestic production and deployment of SAF or the use of low-emission aviation technologies among domestic commercial aviation and aerospace stakeholders; (b) projected greenhouse gas (GHG) emissions of a project and the potential reduction of GHG emissions that a project can create for air travel; (c) the capacity to create new jobs and develop supply chain partnerships in the U.S.; (d) for projects related to SAF production, the projected lifecycle GHG emissions benefits, including feedstock and fuel production and potential direct and indirect GHG emissions (resulting from changes in land use); and (e) the benefits of ensuring a diversity of feedstocks for SAF, including the use of waste carbon oxides and direct air capture. 
• Cost Share: The federal cost share for projects is 75 percent, except for those at small hub and nonhub airports, where the federal cost share will increase to 90 percent. 
DOT Meeting Details. In the notice, DOT indicates that the December 14 meeting will allow the department to share information with the public on its plans for the grant program, solicit interest from the public, and provide an opportunity for feedback on how the program is planned to be set up and executed. DOT also noted that this will serve as a forum for potential grant applicants to initiate discussions on teaming opportunities. DOT has not yet announced when the application period will begin. 
 
The U.S. Department of Transportation (DOT) and Federal Aviation Administration (FAA) will be hosting a hybrid meeting on Wednesday, December 14, to discuss implementation of a new grant program that will provide $297 million in funding for projects that promote the production and use of sustainable aviation fuels (SAFs) and low-emissions aviation technologies. Congress created the new grant program, called “Fueling Aviation's Sustainable Transition through Sustainable Aviation Fuels (FAST-SAF) and Low Emissions Aviation Technology (FAST-Tech),“ through the Inflation Reduction Act (IRA), which was signed into law in August. 
Airport sponsors are eligible for funding under the grant program and highly encouraged to attend the meeting if they are interested in participating and applying. We expect that DOT and FAA will provide additional details regarding how airports and other eligible entities can apply and how they plan to implement the program. The meeting will occur in person at DOT headquarters in Washington, D.C., and be livestreamed. You can find more details and the registration form here. 
Background on Grant Program. The IRA, which was signed into law by President Biden in August, provided DOT with $297 million to carry out a competitive grant program that will fund projects aimed at advancing the production and use of SAFs and low-emissions aviation technologies. As outlined in our August 12 Airport Alert, the following are additional details about the program: 
• Eligible Entities: Entities that are eligible to participate in the grant program include state and local governments, airport sponsors, for-profit companies, research institutions, and non-profits. 
• Funding Breakdown: The IRA provides $244.5 million for projects related to the production, transportation, blending, or storage of SAFs; $46.5 million for projects related to low-emission aviation technologies; and $5.9 million for DOT to administer and provide oversight of the program. 
• Project Considerations: When selecting projects, DOT must consider the following factors: (a) capacity to increase domestic production and deployment of SAF or the use of low-emission aviation technologies among domestic commercial aviation and aerospace stakeholders; (b) projected greenhouse gas (GHG) emissions of a project and the potential reduction of GHG emissions that a project can create for air travel; (c) the capacity to create new jobs and develop supply chain partnerships in the U.S.; (d) for projects related to SAF production, the projected lifecycle GHG emissions benefits, including feedstock and fuel production and potential direct and indirect GHG emissions (resulting from changes in land use); and (e) the benefits of ensuring a diversity of feedstocks for SAF, including the use of waste carbon oxides and direct air capture. 
• Cost Share: The federal cost share for projects is 75 percent, except for those at small hub and nonhub airports, where the federal cost share will increase to 90 percent. 
DOT Meeting Details. In the notice, DOT indicates that the December 14 meeting will allow the department to share information with the public on its plans for the grant program, solicit interest from the public, and provide an opportunity for feedback on how the program is planned to be set up and executed. DOT also noted that this will serve as a forum for potential grant applicants to initiate discussions on teaming opportunities. DOT has not yet announced when the application period will begin. 
 
