Background

The Ministry of Petroleum and Natural Gas recently amended the Aviation Turbine Fuel (Regulation of Marketing) Order, 2001, marking a significant policy shift in India's aviation sector.

Key Change: Expanded ATF Definition

  • ATF definition now includes blends with synthesised hydrocarbons derived from non-petroleum sources
  • This legal amendment enables the adoption of Sustainable Aviation Fuel (SAF) in India
  • The reform mirrors India's ethanol blending programme for petrol, applied now to the aviation sector

Objectives of the Amendment

  • Reduce import dependence: India imports a significant portion of its crude oil requirements
  • Enhance energy security: Especially critical amid global disruptions like the West Asia crisis
  • Promote cleaner aviation: Supporting environmental sustainability goals
  • Align with global decarbonisation efforts: Including ICAO's Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA), mandatory from 2027

Sustainable Aviation Fuel (SAF) - Technical Details

What is SAF?

  • SAF is a biofuel produced from renewable feedstocks
  • Chemically similar to conventional ATF
  • Functions as a "drop-in" fuel – compatible with existing aircraft engines and infrastructure
  • Requires no modifications to aircraft or fuel distribution systems

Feedstock Sources for SAF:

  • Oils and fats: Used cooking oil, algae oils, animal fats, oilseeds
  • Municipal solid waste
  • Agricultural and forestry residues: Bagasse, rice husk, straw
  • Sugars and starches

Important Note: Ethanol cannot be directly blended into ATF. It must first be converted into suitable hydrocarbons through processes like Alcohol-to-Jet (ATJ) pathway.

India's SAF Blending Targets

YearBlending Target
20271%
20282%
20305%

Global Comparison

India's SAF blending targets align with international trends:

  • European Union: Mandating increasing SAF usage
  • United Kingdom: Similar decarbonisation timelines
  • United States: Supported by federal policies
  • Japan and Singapore: Pursuing SAF adoption

Related Provisions and Initiatives

  • Alcohol-to-Jet (ATJ) Pathway: Converts renewable alcohols (ethanol, butanol) into hydrocarbon-based SAF
  • CORSIA: ICAO's Carbon Offsetting and Reduction Scheme for International Aviation (mandatory from 2027)
  • Energy Security: Part of India's broader strategy to reduce fossil fuel imports

Significance for India

  • Energy Security: Reduces vulnerability to crude oil price fluctuations and supply disruptions
  • Environmental Goals: Contributes to India's climate commitments
  • Domestic Production: Opportunity for Indian farmers and waste management sector
  • Import Substitution: Foreign exchange savings on crude oil imports