Seosan City Attracts Comprehensive Demonstration Center for Sustainable Aviation Fuel... Secures 300 Billion KRW in External Funding

Laying the Foundation for Becoming a Hub of the Future Aviation Fuel Industry

Hong Sunkwang, Vice Mayor of Seosan City, held a press conference at the city hall briefing room on the 5th to explain the attraction of the Sustainable Aviation Fuel Integrated Demonstration Center. /Seosan=Photo by Choi Byungmin

Seosan City in South Chungcheong Province has been officially selected as the site for Korea's first Sustainable Aviation Fuel (SAF) Comprehensive Demonstration Center, paving the way for its emergence as a hub of the future aviation fuel industry.

On the 5th, Seosan City announced that it had been finally selected in the Ministry of Trade, Industry and Energy's public contest for local governments to establish an integrated demonstration facility for "Sustainable Aviation Fuel (SAF) Full-Cycle Integrated Production Technology Development," securing approximately 300 billion KRW in external funding.

Hong Soon-gwang, Deputy Mayor of Seosan City, held a press conference in the city hall briefing room that day, stating, "The scale of this project, achieved through the attraction of the SAF Comprehensive Demonstration Center, is the largest in Seosan City's history among government-funded projects, excluding social overhead capital projects."

Sustainable Aviation Fuel (SAF) is aviation fuel produced from sustainable sources such as waste cooking oil and biomass, rather than conventional fossil fuels. SAF can reduce carbon emissions by up to 80% compared to fossil fuels. In particular, from this year, the European Union (EU) has mandated that all aircraft departing from Europe must use at least 2% SAF, with the mandatory blending ratio gradually increasing to 70% by 2050, making SAF an essential alternative in the global aviation industry.

According to market research firm Mordor Intelligence, the global SAF market is expected to grow from approximately 1.1 trillion KRW in 2021 to about 31.6 trillion KRW by 2027.

With this successful bid, the comprehensive demonstration center to be established in Seosan City is expected to become a key hub supporting the localization of all SAF-related technologies, from securing raw materials and fuel production to testing, evaluation, and verification.

Aerial view of the Sustainable Aviation Fuel Integrated Demonstration Center. /Seosan City

The main components of the project include: △ establishment of a research base △ demonstration of raw material and fuel technologies △ research and development and testing certification △ support for companies to foster an industrial ecosystem.

The Ministry of Trade, Industry and Energy plans to begin a preliminary feasibility study with the Ministry of Economy and Finance this year, and Seosan City will focus on responding to the study in cooperation with South Chungcheong Province.

After passing the preliminary feasibility study, administrative procedures will be completed by 2026, with the goal of launching the project in 2027.

The SAF Comprehensive Demonstration Center is expected to serve as a core hub that supports corporate R&D and stimulates investment, while maximizing carbon emission reduction effects and solidifying Korea's position as the world's top exporter of aviation fuel.

Furthermore, this project is expected to transform Seosan's refining and aviation industry ecosystem towards eco-friendliness and provide an opportunity for the stagnant petrochemical industry to make a comeback.

Mayor Lee Wan-seop said, "With the establishment of the SAF Comprehensive Demonstration Center, the foundation has been laid for the production of internationally certified bio-aviation fuel," adding, "We hope this will enable Korea to become the world's top SAF producer, following its position as the number one aviation fuel exporter."

Meanwhile, the city plans to implement this project without setbacks and establish itself as the only SAF testing, evaluation, and certification support center in the Asia-Pacific region.

This content was produced with the assistance of AI translation services.