Air India signs SAF purchase agreement with IndianOil
Air India said it has signed an agreement with state-owned IndianOil Corporation to purchase sustainable aviation fuel as part of its strategy to achieve the IATA Net Zero by 2050 target.
Under the agreement, Air India, a Tata Group company, and IOCL have outlined their shared commitment to promote the adoption of low-carbon fuels in aviation, support global decarbonization goals, and contribute to the transition towards more sustainable air transport operations.
“The signing of this MoU with Air India represents a strategic step in India’s transition to sustainable aviation. With our ISCC-CORSIA-certified SAF from Panipat, IndianOil is ready to provide a sustainable fuel solution that will help decarbonize air travel. Partnering with India’s flagship carrier, we are aligning national growth with global climate goals and setting a benchmark for the industry,” said AS Sahney, chairman, IndianOil.
Air India’s fleet renewal plan, with 570 new aircraft on order, will enable the airline to operate one of the lowest carbon emitting fleets in the world and its plans to establish more non-stop city-pairs will result in less emissive flights and itineraries.
“Through this MoU with IndianOil, Air India is committed to support the Government of India’s initiatives to promote sustainable development in the aviation sector and to further its own sustainability goals to achieve the IATA Net Zero by 2050 target,” said Campbell Wilson, CEO & managing director, Air India.
The airline said it has entered into an MOU with India’s Council of Scientific and Industrial Research and the Indian Institute of Petroleum to collaborate on the research, development and deployment of SAF.
These efforts align with India’s broader push for green aviation, which includes India’s target of 5% SAF blending by 2030 and the development of SAF supply chains across the country.
Earlier this month, IndianOil Corporation announced that it became first company in the country to be certified to produce SAF via co-processing pathway by converting used cooking oil (UCO) as feedstock. The announcement came after IOC in July shared plans to upgrade its Panipat refinery to produce SAF, according to media reports. The company plans to shut down its 300,000 barrels per day desulphuriser unit with the overhaul planned for later this year or start of next.