Indian Oil Corporation (IOC) has signed an agreement with Air India to supply sustainable aviation fuel (SAF), marking a major step towards greener aviation in India.

“IOC will begin SAF production from used cooking oil at its Panipat refinery in December, with an annual output of 35,000 tonnes,” said Chairman Arvinder Singh Sahney. The waste cooking oil will be sourced from leading hotel and restaurant chains, including ITC and Haldiram’s. SAF, produced from non-petroleum feedstocks, significantly reduces aviation emissions and can be blended up to 50 per cent with conventional aviation turbine fuel (ATF).

India has mandated a minimum one percent SAF blending in jet fuel supplied to international airlines beginning 2027, providing impetus for sustainable fuel adoption. This collaboration aligns with India’s climate commitments and the aviation sector’s decarbonisation roadmap. The partnership between IOCL and Air India is expected to set a precedent for other carriers and energy firms to accelerate adoption of green fuels in the country’s aviation ecosystem.