To use 10% sustainable aviation fuel by 2030 Will increase fuel...

• To use 10% sustainable aviation fuel by 2030
• Will increase fuel efficiency of flights
• Corporate customers are looking for travel emissions cuts

(Adds CEO comments, corporate goals)

Qantas Airways Ltd (QAN) said on Thursday it planned to reduce carbon emissions by about 25% by 2030, in part by boosting sustainable aviation fuel to 10% of its fuel mix and increasing the fuel efficiency of flights by 1.5% a year.

The airline in 2019 had been one of the first carriers in the world to pledge to slash its carbon emissions to net zero by 2050, ahead of an industry-wide commitment agreed last year.

"Hydrogen or electric powered aircraft are several decades away, particularly for the length of most flights, so our plan is focused on the technology that is within reach today," Qantas Chief Executive Officer Alan Joyce said.

The target of 10% sustainable aviation fuel by 2030 is in line with a goal set by the oneworld airline alliance in October 2021. Qantas is a member of oneworld along with carriers like British Airways ICAG.L , American Airlines Group AAL.O and Cathay Pacific Airways 0293.HK .

Qantas' broader 2030 emissions target will place it in closer alignment with corporate customers that are looking for drastic cuts in emissions from business travel well before 2050.

Several companies, such as HSBC HSBA.L , Zurich Insurance ZURN.S , Bain & Company and S&P Global SPGI.N , have already announced plans to quickly cut business travel emissions by as much as 70%.

Qantas has begun purchasing sustainable aviation fuel (SAF) for its flights from London to help reduce carbon emissions on those journeys by around 10% and from 2025, it will use biofuels on flights from Los Angeles and San Francisco.

The airline industry's target of net zero emissions by 2050 relies on boosting use of sustainable aviation fuel from less than 0.1% today to 65% by 2050 as well as new engine technologies.

Qantas is nearing a major order for Airbus' AIR.PA latest generation narrowbody planes that would replace its fleet of older Boeing BA.N 737-800s and 717s, allowing for fuel savings of 15-20%. A firm order is expected by mid-year, Qantas said on Thursday.