India's Sustainable Aviation Fuel Revolution: A Green Opportunity for Economic Growth
Key Ideas
  • Deloitte India report projects India could produce 8 to 10 million tonnes of sustainable aviation fuel annually by FY40, requiring significant investments but reducing carbon emissions.
  • The aviation sector in India is forecasted to grow due to infrastructure development, leading to increased demand for Aviation Turbine Fuel and a push towards sustainable solutions.
  • Sustainable Aviation Fuel (SAF) is seen as a crucial lever in achieving net-zero targets for the aviation sector, offering opportunities for economic growth, job creation, and reducing carbon emissions.
  • The report suggests that SAF production could have a substantial socio-economic impact, creating 1.1 to 1.4 million jobs and boosting farmers' income by utilizing agricultural residue as feedstock.
A Deloitte India report titled "Green wings: India’s Sustainable Aviation Fuel (SAF) revolution in the making" highlights the potential of Sustainable Aviation Fuel (SAF) as a key decarbonisation lever in the aviation sector. The report forecasts that India could produce 8 to 10 million tonnes of SAF annually by FY40, requiring investments of Rs 6 to 7 lakh crore. This production level could help reduce carbon emissions to 20 to 25 million tonnes annually. The growth of India's aviation sector, expected at 11% in the coming years, is attributed to infrastructure development, aircraft capacity expansion, and evolving passenger preferences. With the increasing demand for Aviation Turbine Fuel (ATF) aligning with passenger and freight traffic growth, SAF emerges as a sustainable alternative to address environmental concerns. The report emphasizes the significance of SAF in achieving net-zero targets for the aviation sector, projecting a contribution between 53% and 66%. It also outlines the potential socio-economic impact, including job creation (1.1 to 1.4 million jobs) and boosting farmers' income by utilizing agricultural residue. By investing in SAF production, India could potentially position itself as a leading SAF exporter, thus positively impacting the economy and the environment.
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