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Govt Proposes Mandatory SAF Blending From 2027, Targets 5% For International Flights By 2030
Sentiment: NeutralHigh Priority
What Happened?
The Indian government plans to mandate blending Sustainable Aviation Fuel (SAF) with conventional Aviation Turbine Fuel (ATF) for international flights, starting with 1% in 2027 and reaching 5% by 2030.
Key points
- SAF blending will start at 1% in January 2027.
- Targets include 2% in 2028, 3% in 2029, and 5% by 2030.
- The policy mandates that only domestically produced SAF can be blended.
- Indian and foreign airlines must uplift 90% of their fuel from Indian airports.
- SAF is projected to be 2-3 times more expensive than conventional jet fuel.
- India's SAF production potential could reach nearly 10 million tonnes by 2040.
Key insights
- The blending mandate may drive investment in domestic SAF production.
- Higher SAF costs could challenge airlines' profitability in the short term.
- The initiative aligns with global sustainability trends in aviation.
Why it matters
This policy could significantly impact the aviation industry's fuel sourcing and sustainability efforts.
Source
Times Now
