Indian Oil inks pact with Air India for supply of sustainable aviation fuel

New Delhi, Aug 19 (IANS) Indian Oil Corporation (IOC) signed a memorandum of understanding (MoU) with Air India on Tuesday for the supply of sustainable aviation fuel, in a significant step towards a greener future for aviation in the country.

By integrating certified green fuels into commercial operations, Indian Oil and Air India are together reinforcing India’s position as a front-runner in sustainable aviation and energy transition.

Through this MoU, Indian Oil and Air India aim to collaborate on the supply of SAF to meet the Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA) targets for international flights, ensuring a reliable, transparent, and sustainable fuel supply to support the environmental goals of both companies, the statement said.

As part of its broader strategy to achieve the IATA Net Zero by 2050 target and comply with CORSIA obligations, Air India is actively pursuing initiatives in operational efficiency, low-carbon emissions, and now, sustainable aviation fuel (SAF), the Tata Group airline said.

Indian Oil chairman AS Sahney said that “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 the Panipat refinery, Indian Oil is ready to provide a sustainable fuel solution that will help decarbonise air travel. Partnering with India’s flagship carrier, we are aligning national growth with global climate goals and setting a benchmark for the industry.”

"Through this MoU with Indian Oil, 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," added Air India CEO, Campbell Wilson.

The effort aligns with India’s broader push for green aviation, which includes India’s target of 5 per cent SAF blending by 2030 and the development of SAF supply chains across the country.

This collaboration builds upon Indian Oil’s recent milestone of becoming the first Indian company to receive ISCC CORSIA certification for SAF production at its Panipat Refinery. The certification, granted under ICAO’s Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA), establishes Indian Oil’s capability to produce SAF that meets the most stringent international sustainability and lifecycle carbon emission standards, the statement said.

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 flights with less emissions and itineraries. Air India has also adopted market-leading flight planning and optimisation systems, including upgrading its route planning software and coordination with air traffic management, and 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, according to the airline’s statement.

--IANS

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