India’s Push Toward Sustainable Aviation Fuel (SAF): A Turning Point for Cleaner Skies

India's aviation sector is growing fast and with growth comes a difficult choice:
expand quickly or expand cleanly.

Sustainable Aviation Fuel (SAF) has moved from an experimental concept to one of the most practical tools available to cut aviation’s carbon footprint.
Over the past year, India has advanced from pilot flights and pledges to policy planning and refinery investments that could reshape domestic fuel supply and emissions.

🌱 What Is SAF, Simply Put?

SAF is a drop-in replacement for conventional jet fuel, produced from sustainable feedstocks such as:

Used cooking oil
Agricultural residues
Certain waste streams

Key advantages:

Can be blended with jet fuel with no major aircraft modifications
Offers up to ~80% lifecycle CO₂ emissions reduction, depending on feedstock and production pathway

🇮🇳 What’s New in India?

The Government of India has signaled clear intent to move beyond pilot projects and design a national SAF policy.
If implemented, this will accelerate both:

Demand creation
Domestic production capacity

India’s vast supply of biomass and agricultural residues gives it a strategic advantage for homegrown SAF production and energy security.

On the industry front:

Indian Oil (IOCL) and others are planning to retool refinery units to process waste oils into SAF.
Several public–private MoUs aim to secure long-term SAF supply for major airlines.

These developments show that India is preparing to turn policy momentum into actual production volumes.

🏭 Why Refinery Upgrades Matter

Refinery conversions are expensive but essential.

Retrofitting existing units (e.g., desulphurizers or kerosene processors) allows refiners to:

Use waste-oil feedstocks
Produce SAF faster than building new greenfield plants
Integrate green hydrogen in the future

These upgrades provide a scalable pathway to supply domestic airlines without depending solely on imports.

✈️ Airlines, Demand, and Targets

Airlines and freight carriers are becoming active participants:

International partnerships
Forward offtake agreements
MoUs locking in future SAF supply

But globally, SAF remains a tiny fraction of total jet fuel.
IATA expects production to double in 2025 yet still remain far below demand.

This gap highlights the need for:

Clear national policy
Rapid refinery capacity growth
Strong financial incentives

🌍 Opportunities & Co-benefits for India

1. Energy Security & Import Reduction

Domestic SAF production reduces reliance on imported crude and jet fuel.

2. Rural & Circular Economy Boost

Collecting waste oils and agricultural residues creates rural jobs and new value chains.

3. Export Potential

With abundant biomass, India could become a regional exporter of SAF if sustainability and economics align.

⚠️ Major Challenges to Scaling SAF

1. High Cost

SAF is currently much more expensive than fossil jet fuel.
Bridging the gap requires:

Subsidies
Blending mandates
Carbon pricing
Long-term airline agreements

2. Feedstock Sustainability & Logistics

Challenges include:

Ensuring feedstocks are truly waste-based
Avoiding food/feed competition
Building nationwide collection logistics

3. Volume vs. Ambition

Even modest blend goals by 2030 require:

Massive production ramp-up
Clear and stable policy incentives

🔎 What to Watch Next

India’s SAF policy framework expected to define targets, incentives, and compliance pathways
Refinery upgrade timelines which units go first and expected annual tonnage
Airline–producer offtake agreements the real test of supply chain viability

✔️ Bottom Line

SAF is not a silver bullet, but it is the most immediately deployable low-carbon solution for aviation fuel in the short and medium term.

India’s emerging:

Policy direction
Refinery upgrade plans
Airline commitments

…represent a promising start.

The real test will be whether India can convert this momentum into affordable, scalable, and verifiable SAF production enabling the country to decarbonize aviation while building a homegrown green-fuel industry.