India is set to become a global leader in sustainable aviation fuel (SAF) production by 2040, aiming for a target of 8-10 million tonnes annually. This ambitious goal is driven by the country’s commitment to decarbonizing its rapidly growing aviation sector, which ranks among the fastest-expanding in the world. The initiative is also expected to attract an estimated investment of USD 70-85 billion over the coming years, as reported by industry experts.
The planned SAF output could significantly contribute to reducing carbon emissions, with projections indicating a reduction of 20-25 million tonnes of carbon dioxide annually. This effort aligns with global sustainability goals and places India as a potential major player in the SAF market, not only meeting domestic demand but also catering to the international aviation industry. The country’s strategic location, close to major airline hubs in the Middle East and Europe, further enhances its potential as a key SAF exporter.
To realize these ambitions, India’s SAF production strategy focuses on leveraging its agricultural and municipal waste as primary feedstocks. The country produces around 230 million tonnes of surplus agricultural residue, which will be crucial for producing biofuels through advanced technologies. This includes the Alcohol-to-Jet (AtJ) process, which converts ethanol derived from agricultural waste into aviation fuel. Ethanol (second generation) produced from non-food sources like agricultural residue and municipal solid waste is expected to be a cornerstone of India’s SAF development.
The initiative aims to generate significant economic benefits. It is projected to create between 1.1 and 1.4 million jobs throughout the SAF production value chain. The reduction in crude oil imports, estimated at USD 5-7 billion annually, is another expected outcome of the country’s SAF development efforts.
India’s aviation sector has been exploring diverse feedstocks for SAF production, with options ranging from used cooking oil and municipal solid waste to more unconventional sources like sweet sorghum and seaweed. Experts believe that the scalability and success of these alternative materials will depend on technological advancements and regulatory support over the next decade.
A comprehensive SAF roadmap was recently unveiled, detailing the investments needed to meet production targets while also highlighting the environmental and economic benefits for India. Government policies, coupled with private sector involvement, are expected to play a crucial role in scaling up SAF production. The international market for SAF is expanding rapidly, and India’s competitive cost structures may position it favorably to supply global aviation giants as demand surges.
However, challenges remain in ramping up production and creating a reliable supply chain for SAF in India. Infrastructure bottlenecks, technological constraints, and the need for regulatory incentives are key issues that need to be addressed to achieve the ambitious targets set for 2040. Yet, experts remain optimistic that with sustained investment and collaboration between public and private sectors, India will be able to meet its SAF production goals.
This focus on SAF is part of a broader trend in India’s decarbonization efforts across multiple sectors. The aviation industry’s move towards cleaner fuels not only reduces greenhouse gas emissions but also aligns with India’s broader climate commitments under the Paris Agreement. As the global aviation industry looks for greener alternatives, India’s push for SAF could place it at the forefront of this transformation, catering to both domestic and international markets.
In addition to benefiting the environment, the production of SAF in India is expected to improve the incomes of local farmers by 10-15% through the utilization of agricultural residue that would otherwise be burned. This has the potential to address long-standing environmental issues like air pollution caused by crop stubble burning, particularly in northern India.
