Accelerating Supply Chain Decarbonisation – Introducing the Aviation Circularity Consortium

  • 18 Apr 2024

On 16 April 2024, six aviation stakeholder groups have recently launched the Aviation Circularity Consortium (ACC). Established with the aim to accelerate supply chain decarbonization by creating value from 8,000 decommissioned aircraft housed in boneyards worldwide. The model intends to close the gap between unused materials from retired aircraft, as well as the increasing demand from manufacturing industries for high-quality resources to enable lasting emissions reductions in the global supply chain.

According to the media release, founding organisations of the AAC are made up of companies from around the world, including Singapore-based Nandina REM, Jamco America, Qantas, Sumitomo Corporation Asia & Oceania, Titan Leasing, and Vaupell. The new ACC will engage with airlines, regulators, OEMs and suppliers to explore the acceleration of decarbonisation through high-value circularity in heavy industry supply chains.

Through a comprehensive cross-sector collaboration, the ACC will be adopting a two-pronged approach. Firstly, member companies will collaborate closely with OEMs and regulators to create an implementation roadmap for certifying reclaimed materials for use in aviation products and other vital industries in the green transition. The roadmap is expected to be released in late 2024. Secondly, Nandina REM will take the lead in engaging financial institutions to develop sustainability-linked financial products that will facilitate the supply chain adoption of the roadmap.

Nandina REM Teardown. Photo: Nandina REM
Nandina REM Teardown. Photo: Nandina REM

Karina Cady, CEO of Nandina REM, commented on this new milestone, “The interest in circular aviation materials garnered during the Singapore Airshow demonstrates a huge opportunity to raise circularity as one of the key strategies to accelerate decarbonisation in the global supply chain. Achieving this requires collaborative effort across industry stakeholders from all fronts – manufacturers, airlines, and regulators – to bring their unique expertise and resources to the table. Today’s launch is crucial in building such a collaborative industry ecosystem working towards enabling high-value circularity in the global supply chain.”

Andrew Parker, Chief Sustainability Officer of Qantas also mentioned, “Decarbonising aviation and reducing the industry’s environmental footprint is a challenge that requires innovative solutions. As well as the significant commitments and investment towards reducing our emissions, we’re committed to sustainability across our entire operations and supply chain. There’s a lot of untapped potential in the high value materials from retired aircraft that could be recycled and used to create parts in future Qantas aircraft cabins. We’re pleased to be part of this industry collaboration which is an important step towards a more resilient and sustainable future for aviation.”

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