BA aims to improve fuel efficiency by 30% by 2010.
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Rolls-Royce and British Airways (BA) have announced a joint tender process to research alternative fuels to be used within the aviation industry.
The process, to begin in a few weeks' time, will invite fuel suppliers to submit fuel samples for testing on a BA Boeing 747 Rolls-Royce engine.
Testing is scheduled to be completed by March 2009.
The aviation industry is under increasing pressure to reduce emissions and develop to its green credentials.
Kerosine is currently the standard fuel used across the industry.
Four of the best samples will be selected following the tender and the successful companies will have to provide up to 60,000 litres of the fuel for testing in Rolls-Royce's Derby facility.
Ric Parker, director of research and technology at Rolls-Royce, said they were looking for a fuel with the potential for mass production and global distribution as well as one which brought environmental benefits.
Jonathan Counsell, head of environment at BA, said if successful, the capacity for the aviation industry to reduce its carbon footprint would be "enormous".
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