India's Sustainable Aviation Fuel Revolution: Charting a Green Flight Path
Key Ideas
  • India's aviation sector poised for ~11% growth, driven by infrastructure development and evolving passenger preferences.
  • ICAO's CORSIA scheme sets emission limits for aviation, necessitating decarbonisation efforts like SAF production.
  • India's potential to produce 8–10 million tonnes of SAF annually by FY40, requiring investments of INR6–7 lakh crore.
  • SAF production could help India exceed domestic demand, serve as a leading exporter, and reduce carbon emissions significantly.
India's aviation sector is on a trajectory of significant growth, facilitated by infrastructure enhancements and changing passenger behaviors. The demand for Aviation Turbine Fuel (ATF) is expected to rise alongside increasing air traffic. However, with the government's focus on electrification in road transportation, the aviation sector's share in emissions is projected to increase. To tackle this, the International Civil Aviation Organization (ICAO) has introduced the CORSIA scheme to limit emissions, necessitating decarbonisation efforts. While operational improvements have been impactful, the future requires solutions like hydrogen fuel, electric aircraft, and Sustainable Aviation Fuel (SAF). India's potential in SAF production is substantial, with the capacity to exceed domestic demand and emerge as a key exporter. Investments in SAF could propel decarbonisation, reduce emissions, and position India as a sustainable aviation leader. The report emphasizes the need for regulatory clarity, strategic partnerships, and financial incentives to realize SAF's full potential and drive the sector towards sustainability.
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