Low Carbon Jet Fuel Incentive Program

The program

The BC Low Carbon Jet Fuel Incentive Program (BC-LCJFIP) is intended to encourage the early adoption of low carbon jet fuel (LCJF) across British Columbia.

Backed by BC’s Low Carbon Fuel Standard (LCFS), this initiative aims to lower the carbon intensity of jet fuel, supporting both provincial regulations and global efforts to reduce greenhouse gas (GHG) emissions in aviation.

Through incentives, the Program will help airlines offset the higher cost of LCJF by providing either a cash or credit incentive, making the transition to more sustainable fuel options easier and more accessible.

Duration

The BC-LCJFIP is a five-year program. It will operate until December 31, 2028, providing incentives for eligible LCJF purchases delivered to airports in British Columbia during the applicable 2024–2028 program years. Fuel deliveries must occur within the calendar year associated with the relevant application period.

Application periods

Current and upcoming application periods

1. 2026 application period (cash or credits): Closed
2. 2027 application period (cash or credits): Opens November 4, 2026, closing December 4, 2026

Important: Applications are submitted in advance of fuel delivery. To be eligible for an incentive, the low carbon jet fuel must be delivered to an airport in British Columbia during the calendar year associated with the application period. For example, fuel included in a 2027 application must be delivered between January 1, 2027 and December 31, 2027.

Application process

1. Download the application package, including:
   • Application Guide
   • Application Form
   • Delivery Verification Form
   Eligible airlines complete and submit the Application Form to [email protected] within the application period. (refer to the “Eligibility” section below). Applicants are advised of their estimated incentive based on the volume of eligible LCJF identified in their application and overall program demand. If total eligible requests exceed available program funding, approved incentive amounts will be adjusted on a pro rata basis
2. Applicants must take delivery of eligible LCJF within the applicable calendar year for which they are applying. For example, applicants applying for the 2027 program year must take delivery of the LCJF in 2027.
3. Applicants must complete the Delivery Verification Form and submit it, along with supporting evidence of eligible fuel purchase and delivery to [email protected] for review, including confirmation that the fuel was delivered within the applicable program year.
4. Applications are reviewed and delivery is verified. Applicants are then advised of their approved incentive amount.
5. YVR issues the approved incentive in the form of either a cash payment or LCFS credits.

Important: Applicants must estimate the volume of eligible low carbon jet fuel they expect to deliver during the applicable program year. Final incentives are based on actual eligible delivered volumes supported by satisfactory evidence, up to the volume identified in an approved application. Where delivered volumes are less than the approved volume, the incentive will be adjusted accordingly. Deliveries in excess of the approved volume are not eligible for additional incentive funding. Submission of an application does not guarantee that an incentive will be awarded. Incentive allocations are subject to program eligibility requirements and funding availability.

Who can apply

Eligibility

Eligible air operators are those operating flights under Parts 701 (excluding state aircraft), 703, 704, and 705 of the Canadian Aviation Regulations (CAR). You can use the Canada’s Operator List Search Tool to search your airline’s CAR details.

Applicants must provide satisfactory evidence of eligible fuel delivery, including approved BC-LCFS Fuel Codes, invoices, delivery receipts and confirmation that delivery occurred during the calendar year associated with their application. View the approved fuel codes (filter by fuel: “Alternative Jet Fuel”):

To qualify for an incentive, applicants must:

• Submit an application during the applicable application period;
• Be approved for an incentive allocation;
• Take delivery of eligible low carbon jet fuel at a British Columbia airport during the applicable calendar year; and
• Provide satisfactory evidence of fuel delivery and associated fuel attributes.

How to apply

Complete the application form linked above and submit it by email to [email protected] with the subject line: “BC-LCJFIP Application Form – [Organization Name]”. Applicants should refer to the Application Guide for detailed instructions and guidance. Any questions not addressed in the guide may be directed to the program team via email at:[email protected].

Why apply

Applying for the BC Low Carbon Jet Fuel Incentive Program (BC-LCJFIP) offers a valuable opportunity for airlines to reduce the cost of transitioning to low carbon jet fuel (LCJF). This program provides support to offset the price difference between traditional jet fuel and LCJF, helping airlines meet new carbon intensity regulations and environmental targets. By participating, your airline can lower its carbon footprint, contribute to industry-wide sustainability goals, and gain a competitive edge as the sector moves toward greener operations.

Frequently asked questions (FAQ)

Please email [email protected] if you have a question that is not covered here.

What is the low carbon jet fuel Incentive Program?

The LCJF Incentive Program is a collaborative initiative between YVR and the Province of British Columbia (BC) to help offset the cost of low carbon jet fuel delivered to carriers flying from BC airports.

Who is eligible?

Eligible air operators are those under the Canadian Aeronautics Act and that operate flights under Parts 701, 703, 704, and 705 of the Canadian Aviation Regulations. You can use the Canada’s Operator List Search Tool to search your airline’s CAR details.

What is the application process for the incentive?

Applicants must submit an application to [email protected]. using the forms linked above.

What is the application period?

Application periods will be listed above when they are announced each year.

How much incentive funding or credits can my organization apply for?

Support is based on the volume of low carbon jet fuel that is delivered to an airport in BC and the carbon intensity of the fuel. Where credits are awarded, they will be awarded in accordance with the formula below. Where cash incentive funding is awarded, the estimated incentive will be calculated using the baseline incentive rates. Please apply for the amount you expect to have delivered.

How much funding is available for the program?

For the 2027 program year, approximately $13 million in total incentive funding will be available to support eligible low carbon jet fuel purchases.

Baseline incentive rates

Carbon intensity:

10 gCO2e/MJ	0.005 credits/L
= 10 gCO2e/MJ	0.0075 credits/L

Rounding rule:

Baseline incentive rates

Carbon intensity

10 gCO2e/MJ	$0.75 CAD/L
= 10 gCO2e/MJ	$1.120 CAD/L

Please apply for the amount you expect to purchase.

How are applicants selected?

Selection is based on eligibility; all qualified applicants will be entitled to participate in the program.

When will applicants be advised of their incentive allocation?

After the application period closes, applicants will be notified of the estimated incentive they are eligible to receive, contingent on completing the eligible fuel delivery outlined in the application. In the event the program is oversubscribed, allocations will be awarded on a pro rata basis.

What happens if the program is oversubscribed?

If the program is oversubscribed, each successful applicant will receive a cash or credit allocation on a pro rata basis.

What is the process if I disagree with the outcome?

The airline should contact the Low Carbon Fuel Branch (LCFB) by email at [email protected] if they wish to raise an objection regarding the allocation. In their communication, the airline must provide a clear, detailed explanation of their objection, including supporting calculations or any relevant data.

How should I source LCJF?

You may purchase qualified low carbon jet fuel from the supplier of your choice. To be eligible for an incentive, fuel must be delivered to a British Columbia airport during the calendar year associated with the applicable application period. Applicants can review the approved fuel codes in British Columbia here (filter by fuel: “Alternative Jet Fuel”)

What evidence must be submitted to receive the incentive?

Applicants must provide satisfactory evidence to verify the eligible fuel purchase and delivery. This evidence includes the Delivery Verification Form, an approved BC-LCFS Fuel Code, invoices, and/or delivery receipts, which must be accurate and complete. For example, applicants must provide evidence demonstrating that an eligible fuel associated with a 2027 application was delivered to British Columbia between January 1, 2027 and December 31, 2027. Please see the Application Guide for more detail.

How is the LCJF Incentive Program being funded?

Support for the program is provided by the BC Provincial Government through its Low Carbon Fuel Standard Initiative Agreement program. Initiative Agreements promote innovation, diversity, and greater uptake of lower carbon fuels. The LCFS Initiative Agreement program helps undertake actions that are not otherwise economically viable, and that will help create future compliance pathways.

What is the difference between low carbon jet fuel, alternative jet fuel, and sustainable aviation fuel?

These terms are used interchangeably to describe the biofuel equivalent for jet fuel.

How is LCJF made? Is it sustainable?

Low carbon jet fuel (LCJF) is produced using alternative feedstocks and processes that result in low lifecycle greenhouse gas emissions than conventional jet fuel. Depending on the production pathway, LCJF may be made from renewable biological materials, waste products, or other low-carbon sources. For more information, visit YVR’s Sustainable Aviation Fuel webpage.