Connect with us

Published

on

In this article

A commercial plane takes off after sunset from Geneva Airport, Switzerland.
FABRICE COFFRINI | AFP | Getty Images

From the Wright brothers’ historic flight in 1903 to the development of supersonic aircraft, the history of aviation has been driven by technology and ambition.

Now, as the 21st century progresses, the sector continues to show its appetite for innovation and radical design.

Last September, for instance, a hydrogen fuel-cell plane capable of carrying passengers took to the skies over England for its maiden flight.

The same month also saw Airbus release details of three hydrogen-fueled concept planes, with the European aerospace giant claiming they could enter service by the year 2035.

More recently, United Airlines announced it had signed a commercial agreement to purchase aircraft from a firm called Boom Supersonic.

In a statement, United said the Overture aircraft — which is yet to be built — was set to be “optimized to run on 100% sustainable aviation fuel.”

All of the above are linked by a focus on technologies designed to reduce aviation’s environmental footprint. This represents a major task, even if the number of flights last year slumped due to the coronavirus pandemic.

According to the International Energy Agency, carbon dioxide emissions from aviation “have risen rapidly over the past two decades,” hitting almost 1 gigatonne in 2019. This, it notes, equates to “about 2.8% of global CO2 emissions from fossil fuel combustion.”

Elsewhere, the World Wildlife Fund describes aviation as “one of the fastest-growing sources of the greenhouse gas emissions driving global climate change.” It adds that air travel is “currently the most carbon intensive activity an individual can make.”

A variety of solutions

Iain Gray is director of aerospace at the U.K.’s Cranfield University. In a phone interview with CNBC, he described zero carbon as “the top priority” for the industry and sought to emphasize the importance of developing a range of solutions to tackle the challenge.

“The really big technology driver is around the propulsion system,” he explained, “but that doesn’t take away from the importance of new technologies around … new lightweight materials, enhanced carbon composite materials, and the systems itself.”

Expanding on his point, Gray provided an example of why the innovations on planes flying above our heads should not be viewed in isolation. 

“There’s a lot of effort goes into reducing the weight on an aeroplane for it only to spend half an hour circling an airport,” he said.

“So the whole interaction of air traffic management with the aircraft itself is a … very important development and new technologies on airspace management are emerging all the time.”

The power of propulsion

Alongside the development of hydrogen fuel-cell planes there’s also been a lot of discussion around electric propulsion in recent years, with firms such as Volocopter and Lilium developing eVTOL, or electric vertical take-off and landing aircraft.

The key with technologies such as these is the types of journeys to which they can be applied.

“If you look at hydrogen fuel cells and you look at batteries, that really is very much aimed at the smaller aircraft, that’s the sub 1,000 kilometer range,” Cranfield’s Iain Gray said.

“You have to do that in a zero carbon way, there’s no question,” he added. “Is that going to make a big difference to the overall CO2 contributions that aviation makes? No.”

“We need to focus on the longer range flights, flights greater than 1,000 kilometers, flights greater than 3,000 kilometers in particular.”

Fueling change

This focus on long-haul trips will be important in the years ahead, even though they make up a small proportion of flights.  

According to a sustainability briefing from Eurocontrol published earlier this year, “some 6% of flights from European airports were long-haul” in 2020, measuring over 4,000 kilometers (around 2,485 miles) in length.

The intergovernmental organization went on to state that “more than half of European aviation’s CO2 emissions were from this tiny proportion of the overall number of flights.”

This viewpoint was echoed by Jo Dardenne, aviation manager at Transport & Environment, a campaign group headquartered in Brussels.

“We shouldn’t forget that the biggest chunk of aviation emissions are linked to long haul flights because you fly longer, you fly higher,” she told CNBC.

“So all in all you’re producing more CO2 … those long haul flights can only be decarbonized by replacing the kerosene that they’re using.”

It’s on these longer journeys that sustainable aviation fuel could have a significant role to play in the future.

Although the European Union Aviation Safety Agency says there’s “not a single internationally agreed definition” of sustainable aviation fuel, the overarching idea is that it can be used to reduce an aircraft’s emissions.

For its part, Airbus describes SAF as being “made from renewable raw material.” It adds that the most common feedstocks are based on crops or used cooking oil and animal fat.

“Currently, the big challenges of sustainable aviation fuel are producing it in the right volumes that are required, and at the right cost point,” Cranfield’s Gray said.

The provenance of feedstocks used for SAF is also important, he explained. “If what you’re doing … to produce sustainable aviation fuel is transporting fuel right across the world using feedstocks from the other side of the planet, then is it really sustainable?”

“The big effort at the moment is looking at how you can produce sustainable aviation fuels in a …  green way.” This could be fuel from waste or local resources, Gray added.

One type of fuel generating interest is e-kerosene, which also goes by the name of synthetic kerosene. According to a briefing from T&E published in February, e-kerosene is produced by combining carbon dioxide and hydrogen.

“What’s great about it is that it can be dropped into these jets without any modification of the engine and of the technology of the plane,” Dardenne said.  

“It’s a carbon neutral fuel, it’s something that can be easily dropped in,” she added. “The only problem is that it’s very expensive.”

Driving cost down will indeed be key in the years ahead, but organizations like T&E are keen to emphasize the potential environmental benefits of using it.

If the CO2 is “captured from the atmosphere” and hydrogen produced using renewables, T&E says “the combustion of e-kerosene will, apart from some residual emissions, be close to CO2 neutral.”

The future

While technology may be developing, the world also needs to come up with rules and regulations focused on the environmental footprint of air travel. 

Examples of these efforts include the Carbon Offsetting and Reduction Scheme for International Aviation and the European Union including carbon dioxide emissions from aviation in its emissions trading system since the year 2012.

In her interview with CNBC, T&E’s Dardenne stressed the importance of “proper regulation.”

She said: “If you price emissions and pollution effectively, then mandate the use of clean technologies, you send the right signals to investors, private and public, to invest in them.” 

“The clearer the regulatory framework the more certainty you can provide to the market that these technologies will have a future,” she added.

“And that will actually bring added value, financial added value, as well as environmental added value.”

Looking at the bigger picture, she went on to state that “proper regulation” would come via effective carbon pricing and fuel mandates, describing the latter as an obligation to use clean fuels. These were, she argued, “the cornerstone of effective aviation decarbonization strategy.”

Continue Reading

Environment

Tesla’s India plans won’t include manufacturing and here’s why

Published

on

By

Tesla's India plans won't include manufacturing and here's why

Tesla’s India plans won’t include electric vehicle manufacturing, according to the local minister of industries, and the reason is quite simple.

Tesla has been trying to enter the Indian automotive market for years, but it has been unable to circumvent the country’s protectionist efforts, which include high import duties on foreign vehicles.

There have been several false starts in the country. CEO Elon Musk has stated on several occasions that Tesla is actively trying to enter the market.

For the last five years, it seemed that the American automaker was on the verge of entering the Indian market with local hires and even vehicle validation, but it never materialized.

Advertisement – scroll for more content

Over the past few months, a new initiative has been underway, and it has shown promise.

It came after India finally reached a compromise on its import duties on cars last year, opening the door for Tesla and other EV automakers to launch in the country.

The deal involves significantly reducing import duties for a limited number of electric vehicles, provided the automaker makes a substantial investment and commitment to establish an electric vehicle factory in India within the coming years.

Since then, Tesla has started hiring service and sales staff, and there have been several reports that the automaker is closing in on some retail and service locations.

However, we now learn that Tesla doesn’t plan to take advantage of the deal, which includes establishing local vehicle manufacturing.

HD Kumaraswamy, India’s Ministry of Heavy Industries, announced that Tesla won’t be one of the automakers planning to build EV factories in the country (via BBC):

“Mercedes Benz, Skoda-Volkswagen, Hyundai and Kia have shown interest [in manufacturing electric cars in India]. Tesla – we are not expecting from them.”

Another Indian government official added that while Tesla participated in the first round of discussions with stakeholders, it stopped participating in the process after, while the previously mentioned automakers continued.

Kumaraswamy still said that he believes Tesla plans to open “two showrooms” in the country, but it’s not clear how it plans to handle the situation with the import duties.

Tesla also faced another recent setback in India when it lost its head of the country last month.

Electrek’s Take

I said it several times in the last few months amid Tesla’s latest effort to enter India, but I’ll repeat it: I’ll believe it when I see it.

We have been burned too many times on this.

Showrooms are one thing, but Tesla also needs to deploy service and charging stations. If its vehicles are still subject to steep import duties without the benefits of the promise of a manufacturing investment, it’s going to be a tough market for Tesla.

The primary reason Tesla is not committing to a manufacturing facility in India is likely due to its factories currently operating at approximately 60% capacity.

It makes no sense to invest in more manufacturing capacity if you are not already utilizing your current fully deployed capacity. That’s also why Tesla halted its Gigafactory Mexico project, along with the US tariffs.

Tesla currently has a demand problem. Not a production capacity demand.

FTC: We use income earning auto affiliate links. More.

Continue Reading

Environment

Leaked recording proves Tesla (TSLA) has employee morale problem

Published

on

By

Leaked recording proves Tesla (TSLA) has employee morale problem

A leaked recording of a new Tesla training program reveals that the company is concerned about a growing employee morale issue.

Last year, we noted that, following a mass wave of layoffs that was poorly handled on many levels, Tesla has been facing significant employee morale issues.

A year later, it looks like these are ongoing and Tesla is trying to address them.

Last week, Tesla had a week-long production shutdown at Gigafactory Texas and employees were offered to come in for some training during that time.

Advertisement – scroll for more content

One of the training sessions was related to “company culture,” and Business Insider obtained a recording, releasing some quotes from it.

The instructor asked Tesla employees attending the training if they’d ever felt “I can’t work under these conditions”or had felt set back by constant change at the company.” “I know I have,” the instructor told the employees.

The recording made it clear that Tesla is having some turnover issues due to morale. The instructor said:

“A lot of people leave this company, and they have kind of a negative taste in their mouth. They think: ‘Man, it was terrible. It was bad. I got burnt out. I feel like I didn’t get anything done, nobody listened to me.’”

The company culture training reportedly used to be for Tesla management, but the instructor said that the company decided to expand it to all employees.

They added:

“Leadership has kind of another level of responsibility for trying to guide and direct that culture. But at the end of the day, it’s us as the people on the ground that are the reflection of the culture.”

The instructor highlighted the need for employees to focus on Tesla’s “higher purpose.”

Tesla greatly benefited from being a mission-driven company with the aim. of accelerating the transition to electric transport and sustainable energy.

It helped with hiring and in pushing Tesla’s well-known aggressive work rate.

However, Tesla’s mission shifted in the last few years as CEO Elon Musk had Tesla focus on autonomous driving, and many people feel that the original mission has taken a step back with the CEO backing Donald Trump and the Republican party, who have historically campaigned against electric vehicles and renewable energy.

Electrek’s Take

Company culture begins at the top and flows down. Musk has historically asked a lot out of Tesla employees, but he has barely been working at Tesla for the past year.

That’s not outstanding leadership.

Furthermore, he alienated most of Tesla’s customer base, and while he still has loyalists at Tesla, I think that his massive drop in favorability is also reflected among Tesla employees.

I think talent retention should be one of the biggest concerns at Tesla right now.

I track employee comings and goings closely and I see a continued exodus of talent right now that doesn’t seem to be slowing down. Employee morale is part of it.

FTC: We use income earning auto affiliate links. More.

Continue Reading

Environment

Trump’s Truth Social takes step toward launching bitcoin ETF with NYSE Arca filing

Published

on

By

Trump's Truth Social takes step toward launching bitcoin ETF with NYSE Arca filing

Anna Barclay | Getty Images

President Donald Trump’s Truth Social platform moved a step closer to having a bitcoin exchange-traded fund available to everyday investors.

NYSE Arca, the all-electronic arm of the New York Stock Exchange that handles most ETF trading, filed on Tuesday to list a bitcoin fund linked to the president’s media company, the latest sign of Trump’s expanding push into the crypto world. Known as a 19b-4 form, the filing is required before regulators can decide whether to allow the fund to launch and trade on a U.S. exchange.

Called the Truth Social Bitcoin ETF, the fund is designed to track the price of bitcoin and offer a simpler way for investors to gain exposure without holding the asset directly. The filing follows an announced partnership between Trump Media and Crypto.com in March to bring a suite of digital asset products to market later this year, pending regulatory approval.

Those planned offerings include baskets of cryptocurrencies, such as bitcoin and Crypto.com’s native Cronos token, combined with traditional securities. The products will be branded under Trump Media and made available to global investors through major brokerage platforms and the Crypto.com app, which serves more than 140 million users worldwide.

Since the January 2024 launch of spot bitcoin ETFs, the market has swelled to more than $130 billion in total assets. BlackRock‘s iShares Bitcoin Trust (IBIT) accounts for the lion’s share, with nearly $69 billion in assets, making it the largest digital asset manager in the world.

Trump is the majority owner of Truth Social’s parent company, Trump Media & Technology Group, which has made a series of crypto-aligned moves in recent months — from trademarking digital asset products to unveiling a $2.5 billion bitcoin treasury plan last week in Las Vegas. If approved, the ETF would represent one of the most politically connected entries into the booming market for bitcoin funds.

WATCH: SEC Commissioner Peirce on dropping Binance case: We’re writing the rules first, then enforcing

SEC Commissioner Peirce on dropping Binance case: We’re writing the rules first, then enforcing

Continue Reading

Trending