SAF revenue certainty mechanism: levy design
Read the full outcome
Detail of outcome
We have considered responses to our first consultation on the design of the sustainable aviation fuel (SAF) revenue certainty mechanism (RCM) levy.
Our response sets out government positions on:
- exemptions
- levy collection frequency
- reconciliation processes
- mitigations against supplier default
- compliance and enforcement measures
We have launched the sustainable aviation fuel revenue certainty mechanism: levy design consultation to:
- provide further clarity on how the levy could work
- consider other design options suggested by respondents
Original consultation
Consultation description
Government has previously confirmed that industry should fund the revenue certainty mechanism through a variable levy on aviation fuel suppliers.
This consultation seeks views on specific design features of the aviation fuel supplier levy, which will fund the sustainable aviation fuel (SAF) revenue certainty mechanism.
The design features of the levy include:
- how it could be calculated
- the length, frequency and sequence of when the levy is calculated, collected and paid
- the use of forecasts to provide certainty for industry
- actions to address over-collection, surpluses and under-collection of the levy
Documents
Updates to this page
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SAF revenue certainty mechanism: levy design – government response added.
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First published.