The agreement marks a key development in India’s efforts to create a greener and cleaner aviation ecosystem while strengthening the role of sustainable fuels in the country’s energy transition.
The MoU outlines the shared commitment of IndianOil and Air India to promote the adoption of low-carbon fuels in aviation, support global decarbonisation targets, and contribute to the transition toward more sustainable air transport operations.
Indian Oil recently became the first Indian company to receive ISCC CORSIA certification for SAF production at its Panipat Refinery. The certification was granted under the International Civil Aviation Organization’s Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA), which is a globally recognised framework for reducing emissions from international aviation.
The achievement establishes IndianOil’s capability to produce SAF that meets stringent international sustainability and lifecycle carbon emission standards and reaffirms its role as a key contributor to India’s clean energy transition.
Air India has been actively pursuing sustainability initiatives as part of its broader strategy to align with the International Air Transport Association’s target of achieving Net Zero emissions by 2050.The airline has been working on operational efficiency measures, cutting carbon emissions, and is now placing SAF adoption at the centre of its decarbonisation efforts. By entering into this MoU, IndianOil and Air India are reinforcing India’s position as a frontrunner in sustainable aviation and energy transition by integrating certified green fuels into commercial aviation operations.Both companies intend to collaborate on the supply of SAF not only to meet CORSIA targets but also to exceed them for international flights. The arrangement is expected to ensure a reliable, transparent, and sustainable supply of aviation fuel that aligns with environmental goals and contributes to global efforts at reducing carbon emissions in air transport.IndianOil highlighted that the collaboration further builds on its recent milestone of becoming the first Indian company to receive the certification for SAF production and underlines its commitment to supporting global decarbonization goals.
Air India emphasised that the partnership marks a major step in pursuing its environmental objectives while also contributing to India’s transition towards greener aviation.
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On Tuesday, shares of Oil India Corporation closed 1.2% higher at Rs 142 on the BSE.
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