Thomson Airways has announced plans to fly customers on sustainable biofuel in what is thought to be the first UK flight of its kind.
The flight will be from Birmingham to Palma, Majorca, on July 28.
Weekly biofuel flights will follow on the same route from September.
The main barrier to the widespread use of sustainable biofuels by airlines is the high cost compared with regular jet fuel.
Thomson Airways managing director Chris Browne said: "Sustainability is key to this investment. Sustainable biofuels offer us the opportunity to improve our own individual environmental performance as well as contributing to the UK's carbon reduction target.
"We urge UK and EU governments to use this opportunity to review the legislation and remove the barriers around sustainable biofuels so that other airlines can follow our lead."
Aviation minister Theresa Villiers said: "I very much welcome Thomson Airways' announcement and wish them well with this project.
"The Government believes that sustainable biofuels have a role to play in efforts to tackle climate change, particularly in sectors where no other viable low carbon energy source has been identified, as is the case with aviation."
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