India's Path to Global Leadership in Sustainable Aviation Fuel Production by 2030

India is strategically positioned to provide Sustainable Aviation Fuel to premium markets including the European Union, Japan and the Middle East.

According to a report released on Thursday, India's aviation sector, currently ranked fifth globally, is expected to climb to the third position by 2030, while simultaneously emerging as a world leader in Sustainable Aviation Fuel (SAF) production.

The comprehensive report, jointly published by the Federation of Indian Chambers of Commerce & Industry (FICCI) and KPMG, highlighted India's abundant resources for scaling SAF production, including over 680 MMT of agricultural residue, 3.4 MMT of used cooking oil, and ethanol capacity exceeding 1,800 crore litres.

The document outlines a strategic roadmap demonstrating India's readiness to expand SAF production, increase rural incomes, promote greener fuel alternatives, and access international export markets.

The report emphasizes that SAF can reduce lifecycle emissions by up to 80 percent, making it the most immediate and scalable solution for aviation decarbonization.

Additionally, the report details government-mandated blending targets: 1 percent by 2027, 2 percent by 2028, and 5 percent by 2030.

It underscores significant economic and ecological benefits, including reduced fuel imports resulting in billions of savings, job creation in green sectors, and improved income for rural communities.

The report asserts that India is well-positioned to supply SAF to premium markets including the EU, Japan, Singapore, and the Middle East.

Anish De, Global Head of Energy Natural Resources & Chemicals at KPMG in India, stressed the necessity for a coordinated systems approach that aligns policy, finance, technology, and offtake commitments.

"India's SAF journey will be built on the intelligent use of our abundant feedstock base - from agricultural residues and municipal solid waste to press-mud and used cooking oil," stated Vivek Rahi, Partner and National Head - Oil & Gas at KPMG in India.

He added that establishing viable supply chains and long-term offtake frameworks involving airlines, OMCs, and technology providers would be key to success.