The MoU is aimed at promoting low-carbon fuels in aviation, supporting global decarbonisation goals, and advancing India’s transition towards sustainable air transport, the airline said
Air India has adopted several operational measures to cut emissions. Representational pic
Air India and Indian Oil Corporation Limited (IOCL) on Tuesday signed a Memorandum of Understanding (MoU) for the supply of Sustainable Aviation Fuel (SAF), marking what both companies described as a major step towards greener air travel in India.
The MoU, signed in the presence of Indian Oil chairman AS Sahney and Air India Chief Executive Officer (CEO) and Managing Director Campbell Wilson, is aimed at promoting low-carbon fuels in aviation, supporting global decarbonisation goals, and advancing India’s transition towards sustainable air transport, the airline said.
Sahney stated that the agreement with Air India represented “a strategic step in India’s transition to sustainable aviation.” He added: “With our ISCC-CORSIA-certified SAF from Panipat, IndianOil is ready to provide a sustainable fuel solution that will help decarbonise air travel. Partnering with India’s flagship carrier, we are aligning national growth with global climate goals and setting a benchmark for the industry.”
Wilson said Air India was committed to supporting the government’s push for sustainable aviation. “Through this MoU with IndianOil, Air India is committed to support the Government of India’s initiatives to promote sustainable development in the aviation sector and to further its own sustainability goals to achieve the IATA Net Zero by 2050 target,” he said.
The agreement comes as Air India undertakes a major fleet renewal plan, with 570 new aircraft on order, which the airline says will help it operate one of the lowest carbon-emitting fleets globally. The carrier has also adopted several operational measures to cut emissions, including new flight planning systems, engine and airframe efficiency programmes, and single-engine taxiing.
Air India has already entered into a separate MoU with the Council of Scientific and Industrial Research and the Indian Institute of Petroleum to collaborate on SAF research, development and deployment.
The government has set a target of 5 per cent SAF blending by 2030, with Indian Oil recently becoming the first Indian company to secure ISCC CORSIA certification for SAF production at its Panipat Refinery. The certification establishes its capability to produce fuel that meets international sustainability standards.
Air India, which returned to Tata Group ownership in 2022, is in the midst of its Vihaan.AI transformation programme. Alongside its fleet expansion, the airline has merged with Vistara and AirAsia India, opened South Asia’s largest aviation training academy, and announced plans for a new flying school and greenfield maintenance base.
The MoU with IndianOil, officials said, represents a significant move towards aligning India’s aviation sector with international climate commitments.
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