The global aviation industry is confronting a defining paradox - reconciling unprecedented growth in air travel with the urgent imperative of climate action. With aviation responsible for nearly 2.5 per cent of global CO₂ emissions and passenger volumes continuing to rise, decarbonisation has become central to the sector’s long-term viability. Within this context, Sustainable Aviation Fuel (SAF) has emerged as the most practical, immediate, and scalable solution. SAF not only delivers substantial lifecycle carbon reductions, but also integrates seamlessly into existing aircraft engines, fuel supply chains, and airport infrastructure, thus enabling transition without disruption.
For India, this transition represents both an imperative and an opportunity. It is one of the fastest growing aviation markets in the world crossing ~239 million passengers in FY 2024-25, and on the path to become the third largest. Fleet expansions by leading carriers, supported by record aircraft orders exceeding 1,500, reflect confidence in India’s long-term economic fundamentals. Further, the firm order for widebody aircraft illustrates a new phase of ambition to connect to long-haul international markets. The progress achieved in India’s aviation sector is a direct outcome of deliberate policy foresight and sustained institutional commitment. This expansion has already pushed ATF consumption from 6.3 MMTPA in FY2015-16 to 8.98 MMTPA in FY2024-25, with volumes expected to more than double by 2040. Despite newer, more fuel-efficient aircraft, every capacity addition increases fuel demand, intensifying environmental pressures.
India faces rising fuel demand but also possesses the assets to lead - abundant feedstock, deep refining capacity, proven bioenergy experience, and a strong policy focus on energy transition. The resources, infrastructure, and policy intent are already in place. The real challenge and the strategic opportunity lies in orchestrating them into an integrated value chain that translates potential into measurable climate and competitiveness gains. The development of a domestic SAF industry can deliver multiple dividends: reduced crude import dependence, enhanced rural income, new technology value chains, and green job creation.
The transition to SAF is more than a technological shift, it is a test of strategic intent. India stands at the threshold of redefining its aviation sector not merely as a consumer of cleaner fuel, but as a producer, innovator, and global supplier of it. India’s airlines, airports, regulators, and innovators together represent a confident ecosystem ready to shape the next phase of green aviation. By aligning policy ambition with industrial execution, and pairing domestic feedstock strength with global collaboration, India can chart a flight path where economic growth and climate responsibility move in tandem. As India advances towards Viksit Bharat 2047, its leadership across the aviation value chain from connectivity to manufacturing, from sustainability to digital innovation will define it as a dominant and responsible player in global aviation.
Realising India’s potential as a global hub for SAF will require a holistic systems-level approach - one that integrates strategic policy design, innovative business models, and coordinated industry action.