Investing NIS 100 Million to Sustain Israel’s Competitive Edge in Sustainable Jet Fuel and Next-Gen Smart Communications

Strategic investment in Sustainable Aviation Fuel (SAF) and next-generation communication technologies aims to drive Israeli leadership in deep-tech innovation, future-proof key industries, and unlock global market opportunities

The Israel Innovation Authority announced today a strategic investment of NIS 100 Million (USD 28 million) to drive cutting-edge research in Sustainable Aviation Fuel (SAF) and Intelligent Integrated Sensing and Communication (IISAC). These initiatives will bring together leading Israeli companies, academic institutions, and global partners to develop advanced sustainable aviation technologies and next-generation smart communication networks—ensuring Israel remains at the forefront of emerging deep-tech fields critical to global competitiveness.

Over the next three years, this investment will fund pioneering research in Sustainable Aviation Fuel (SAF), developed in collaboration with Boeing, and Intelligent Integrated Sensing and Communication (IISAC) – a breakthrough initiative integrating positioning, sensing, and transmission/reception into a unified smart network. These consortia will support the development of cost-effective, bio-based jet fuel from renewable sources and next-generation telecom technologies that enhance real-time situational awareness, ultra-fast response times, and network efficiency for Beyond 5G/6G applications. By leveraging Israel’s strengths in deep-tech innovation, these projects will create new economic opportunities, bolster Israel’s role as a global leader in future-critical industries, and ensure Israeli industry remains competitive on the world stage.

Alon Stopel, Chairman of the Israel Innovation Authority, said: “The Israel Innovation Authority invests in pioneering technologies with the potential to drive breakthroughs in international markets and strengthen Israel’s standing as a global innovation hub. The investments we approved – in bio-based jet fuel and geolocation and sensing technologies for smart communication networks – are an integral part of our strategy to transform global challenges into economic opportunities for Israeli industry.”

SAF: The Sustainable Fuel That Could Transform Aviation

The global effort to reduce greenhouse gas emissions has reached the aviation sector, which accounts for approximately 2-4% of global CO₂ emissions from energy sources. The International Air Transport Association (IATA) has set an ambitious target: a 50% reduction in aviation emissions by 2050.

To meet this challenge, Israel is launching an SAF (Sustainable Aviation Fuel) consortium, bringing together five industrial companies and six academic research teams to develop bio-based aviation fuel derived from renewable sources such as used cooking oil, solid organic waste, synthetic gas, residues from the wood and paper industries, and recycled plastics. The goal is to create a cost-effective, sustainable alternative to traditional jet fuel—both for the Israeli market (including local airlines and the Air Force) and as the foundation for an Israeli export industry supplying fuel additives and components to emerging global markets.

Participating companies: Bazan Group Oil Refineries Ltd., Ashdod Refinery, Israel Aerospace Industries (IAI), Gaia Biotechnologies Ltd., and Enzymotec Ltd. The consortium will be supported by leading researchers from Ben-Gurion University, the Technion, Bar-Ilan University, and the Hebrew University.

Alon Stopel, Chairman of the Israel Innovation Authority, said: “The alternative fuels sector aligns perfectly with the Innovation Authority’s focus on climate technologies. Beyond its contribution to reducing carbon emissions, this initiative will open new global market opportunities for Israeli industry and place Israel at the forefront of aviation innovation.”

IISAC: A Smart Communication Revolution – Integrating Sensing, Positioning, and Communication

As the global race for next-generation communication technologies accelerates, Israel is making a strategic push to reassert itself as a leader in the field. The IISAC (Intelligent Integrated Sensing and Communication) consortium will develop a revolutionary concept that combines real-time situational awareness, precise 4D location tracking (position + time), ultra-fast response times, and enhanced efficiency for Beyond 5G/6G networks.

The cutting-edge technologies developed in this initiative will dramatically reduce the costs of developing, acquiring, operating, and maintaining both private and public networks, while laying the groundwork for next-generation applications in fields ranging from autonomous systems and defense to smart cities and industrial IoT (Internet of Things).

Participating companies: CEVA, Parallel Wireless, Cognata, Senstation, and Cellcom. Leading researchers from Ben-Gurion University, Tel Aviv University, Bar-Ilan University, and Ariel University will support the initiative.

Aviv Zeevi, Vice President of the Israel Innovation Authority and Head of Innovation Infrastructure, said: “Israel was once a key player in global communications, but in recent years, the market has been dominated by international giants. The Innovation Authority is identifying areas where Israel has a genuine technological edge – and the IISAC consortium is precisely such an opportunity. If we leverage it correctly, Israeli communications companies have a real chance to compete and lead in the global market.”