Saudi Arabian engineering company Alfanar is building what it claims will be the most advanced sustainable aviation fuel (SAF) project in the UK once it becomes operational.

The Lighthouse Green Fuels project will cost £1 billion to develop, converting household waste to SAF to use in planes.

Allegedly, one million tonnes of waste will be converted every day into 180 million litres of SAF every year at the facility – which can power 15,000 short-haul flights.

It has been built in Teesside’s net zero industrial cluster to utilise the carbon capture and storage projects set to be finished by the mid-2020s – and therefore reduce its carbon intensity further.

The site is expected to be operational by 2027 and on top of this, Alfanar has committed to building two more SAF projects by 2030 and 2035.

Mishal Almutlaq, Chief Investment Officer, said: “To deliver net zero aviation, the government has already established the Jet Zero Council, has announced grant funding for SAF projects and is consulting on a Jet Zero Strategy.

“To continue this leadership, and to enable Alfanar’s first SAF project and other similar early projects to progress, price certainty is also needed.

“We are therefore today calling on the UK government to progress the SAF mandate and introduce a price stabilisation mechanism such as a Contract for Difference for SAF.”

Mayor of Tees Valley, Ben Houchen, added: “Alfanar’s SAF plant will create 700 good-quality well paid jobs during construction and 240 full time roles when operational, fuelling our economy whilst reducing the emissions from a huge number of flights.”