How India's biofuel potential complements its leadership in sustainable aviation fuel
Global Energy Independence Day, observed on July 10, serves as a timely reminder to embrace cleaner, sustainable energy alternatives. In this context, aviation has emerged as a critical sector as it is estimated to contribute nearly 2.5 per cent of global annual carbon dioxide (CO₂) emissions, alongside almost 4 per cent of the total anthropogenic contribution to global warming,
Therefore, focus has been shifted to solutions like sustainable aviation fuel (SAF), which is likely to account for over 60 per cent in decarbonisation. India can potentially manufacture 40 million tonnes of SAF by 2050, which positions it as a key player in shaping a greener, more resilient aviation future. Let's understand SAF and its key environmental benefits.
Aircraft emit water vapour, soot, sulfur aerosols, nitrogen oxides (NOₓ), which contribute to the formation of contrails – clouds that form when water vapour condenses and freezes around small particles (aerosols) in aircraft exhaust. All of these factors have additional warming effects on the atmosphere.
Moreover, aviation's share in global emissions is expected to increase due to two key reasons. Currently, less than 10 per cent of the global population relies on air travel. But this number is projected to more than double in the coming decades. Second, unlike aviation, other high-emission sectors such as electricity, cement, and steel production are gradually moving to greener alternatives.
In this context, Sustainable Aviation Fuel (SAF), also known as aviation biofuel, has emerged as a credible alternative with the potential to reduce aviation-related emissions. SAF is made from sustainable sources and has characteristics similar to Aviation Turbine Fuel (ATF), but with a significantly lesser carbon footprint. It is a 'drop in' fuel, meaning it can be blended with ATF without requiring any change in the existing machinery of aircraft.
SAF can be derived from a range of materials, including
— Oils and fats such as Used Cooking Oil (UCO), oil-rich seeds from plants, algae oils, animal fats
— Municipal Solid Waste (MSW)
— Agricultural and forestry residues such as wood waste, sugarcane bagasse, corn stover, husks and straw, sugars and starches.
There are various methods to produce SAF, with each using different combinations of raw materials. For SAF to be truly sustainable, it is important that the feedstock used in its production does not compete with food production, cause deforestation, or harm biodiversity.
SAF offers multiple benefits. The primary advantage is its ability to significantly reduce emissions and its compatibility with the current global aircraft fleet. It means SAF can be used without modifications to existing planes, engines, or fueling infrastructure. It is estimated that SAF has the potential to reduce GHG emissions in air travel by up to 80 per cent compared to conventional jet fuel.
In addition to SAF, there are other innovations like Renewable Fuels of Non-Biological Origins (RFNBOs). It is produced using renewable electricity through Power to Liquid PtL technology that combines Green Hydrogen with Carbon captured from atmospheric CO₂. It offers the potential for even net negative emissions. SAF combustion produces far less harmful gases and particulate matter, contributing to cleaner skies.
The adoption of these biofuels can lead to new demand for feedstock and open new revenue streams in agriculture and waste management. In addition, diversification of fuel sources in the aviation sector can help reduce import dependence and protect the sector from global oil price volatility. This, in turn, could lead to a more stable aviation sector, possibly making air travel accessible to larger sections of society. Moreover, SAF adoption will also generate employment opportunities in the sustainability sector.
However, despite these benefits, there are a few barriers to the widespread adoption of SAF. First, the cost of producing these biofuels, which is more than double that of conventional fuels, makes its large-scale adoption difficult for airlines without passing the burden onto consumers.
The production, storage, blending, and transportation of SAF require the development of new infrastructure, which would add significantly to the initial cost of adoption. Another key issue is the availability and sustainability of feedstock required for SAF production. The characteristics and variety of necessary feedstock mean that there is no guarantee of year-round supply.
Further, there is a significant risk that the production process can have adverse environmental impacts if not managed properly. For SAF to be considered truly sustainable and to ensure a significant reduction in GHG emissions, it is crucial to ensure that its production does not have negative social or environmental impacts.
Notably, there is now a global push to increase the blending of SAF in commercial aviation. The International Civil Aviation Organisation (ICAO) – the UN's specialised agency for the development of air transport – has established the Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA). It mandates that international airlines must offset their emissions growth post-2020, and the use of SAF is incentivised as a compliance mechanism.
Similarly, the European Union's ReFuelEU Aviation initiative has introduced binding SAF blending targets, aiming for 2 per cent SAF by 2025, 6 per cent by 2030, and 70 per cent by 2050, with sub-mandates for synthetic fuels. Another innovative mechanism is the World Economic Forum's Clean Skies for Tomorrow initiative, which has set the blending target of 10 per cent SAF by 2030. It also seeks to address the high cost of SAF through innovative financing and supportive policy frameworks.
However, India has a nuanced and pragmatic approach to SAF, advocating for nationally determined targets rather than binding international mandates. India's position is based on the twin goals of prioritising energy security and food security, and seeking to balance sustainability goals with passenger demand. Despite these reservations, India is a party to the CORSIA and is positioning itself to be a key player in the global SAF landscape. Notably, the Global Biofuels Alliance (GBA) was launched by India during the G20 Summit in New Delhi in 2023 with the aim to expedite the worldwide adoption of biofuels, including SAF.
India has also set SAF blending targets of 1 per cent for domestic airlines by 2025 and 1-2 per cent for international flights by 2027-2028, and 5 per cent by 2030 and the potential to scale up to 15 per cent by 2040. The abundant supply of agricultural residues bolsters India's goal of becoming SAF exporter. However, challenges like high costs and underdeveloped supply chains need to be taken care of.
To address such issues, policies like tax incentives and public-private partnerships have been proposed. SAF presents a near-term, drop-in solution to reduce emissions from the aviation sector while longer term decarbonisation technologies continue to evolve. Despite existing challenges, the international consensus to push for SAF through initiatives like the CORSIA and ReFuelEU offers hope for overcoming barriers to large-scale adoption. For India, SAF provides an opportunity to leverage its resources to be a market leader in the sector and make meaningful contributions to global decarbonisation efforts, while also keeping local realities and national priorities in mind.
What is Sustainable Aviation Fuel (SAF), and how does it differ from conventional aviation fuel?
What are the key environmental benefits of adopting SAF in the aviation sector? Why is SAF referred to as a 'drop-in' fuel?
What are the primary feedstocks used in SAF production? How can India leverage its agricultural and waste resources to become a global exporter of SAF?
How has India positioned itself in the global SAF landscape, and what are its national blending targets?
What are the major global initiatives for promoting SAF adoption?
(Kannan K is a Doctoral candidate at the Centre for Economic and Social Studies, Hyderabad)
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