India is accelerating preparations for the adoption of Sustainable Aviation Fuel (SAF) and the implementation of the Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA), according to a report by CNBC TV18. The Union Civil Aviation Minister chaired a high-level meeting to assess readiness ahead of the mandatory CORSIA phase beginning on January 1, 2027.
The review covered SAF production, certification, supply chain development and the proposed fuel blending roadmap. Representatives from multiple ministries, regulators, airlines, airports and oil marketing companies participated in the discussions.
During the meeting, stakeholders reviewed India's commitments under CORSIA for SAF blending in international flights. The country has agreed to achieve a 1% SAF blending target by 2027, increase it to 2% by 2028 and further raise it to 5% by 2030.
Discussions focused on assessing preparedness to meet the first milestone scheduled for January 1, 2027. The minister stated that oil marketing companies are working on production processes to support domestic SAF availability.
The meeting examined the progress of SAF production projects being developed by oil marketing companies. Officials reviewed certification requirements, supply chain development and project commissioning timelines to ensure sufficient fuel availability from 2027 onward.
According to the minister, companies including BPCL and IOCL are advancing plans to manufacture SAF within India. The review also considered how production infrastructure can support the aviation sector's transition towards lower-emission fuel options.
Stakeholders discussed the proposed SAF blending roadmap and the responsibilities of oil marketing companies, airlines and airport operators. The proposed framework includes accounting, monitoring and reporting systems aligned with International Civil Aviation Organization requirements under CORSIA.
Discussions also covered a national SAF Registry with end-to-end traceability, certification processes, market access mechanisms and the issuance of Letters of Authorisation. The upcoming SAF policy is expected to provide detailed guidance on stakeholder responsibilities, infrastructure requirements and carbon-offset compliance procedures.
While production capacity is progressing, the minister highlighted cost as a key challenge in SAF adoption. He noted that SAF is generally considered more expensive than conventional Aviation Turbine Fuel (ATF), making affordability an important factor for implementation.
The government is working to identify the most cost-effective production, distribution and airport supply pathways to reduce the financial impact on airlines and passengers. Naidu also emphasised that the SAF value chain could create broader economic opportunities involving multiple stakeholders, including farmers.
Read More: India to Launch First Hydrogen Powered Train.
Track the stock market trends in Hindi. Visit Angel One News for the latest market trends, insights, and share market news in Hindi.
The Ministry of Civil Aviation has intensified efforts to prepare the aviation sector for the mandatory CORSIA phase beginning on January 1, 2027. Reviews covered production capacity, certification standards, supply chains, blending targets and policy implementation measures.
India has committed to SAF blending targets of 1% by 2027, 2% by 2028 and 5% by 2030 for international flights. The draft SAF policy is in its final stages and is being refined through consultations with government departments and industry participants.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.
Investments in the securities market are subject to market risks, read all the related documents carefully before investing.
Published on: Jul 30, 2026, 2:16 PM IST
Akshay Shivalkar
Akshay Shivalkar is a financial content specialist who strategises and creates SEO-optimised content on the stock market, mutual funds, and other investment products. With experience in fintech and mutual funds, he simplifies complex financial concepts to help investors make informed decisions through his writing.
Know MoreWe're Live on WhatsApp! Join our channel for market insights & updates
Get the link to download the App
