Indian Oil Corporation Limited (Indian Oil) and Air India have signed a Memorandum of Understanding (MoU) for the supply of Sustainable Aviation Fuel (SAF), marking a significant milestone in India’s journey toward greener aviation. The agreement underscores both organizations’ commitment to advancing low-carbon fuels, supporting global decarbonization goals, and enabling sustainable air transport operations.
The MoU was signed by Shailesh Dhar, Executive Director (Aviation), Indian Oil, and P Balaji, Group Head – Governance, Regulatory, Compliance (GRC) & Corporate Affairs, Air India, in the presence of AS Sahney, Chairman, Indian Oil, and Campbell Wilson, CEO & Managing Director, Air India.
IndianOil has already positioned itself as a pioneer in this space, becoming the first Indian company to receive ISCC CORSIA certification for SAF production at its Panipat Refinery. The certification, granted under ICAO’s Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA), validates IndianOil’s ability to produce SAF that meets strict international sustainability and lifecycle carbon standards.
Commenting on the development, Shri Sahney, Chairman, Indian Oil, said “The signing of this MoU with Air India represents a key step in India’s transition to sustainable aviation. With our ISCC-CORSIA certified SAF from Panipat, IndianOil is ready to provide cleaner fuel solutions to help decarbonize air travel. Partnering with India’s flagship carrier allows us to align national growth with global climate goals and set a benchmark for the aviation industry.”
Shri Wilson, CEO & MD, Air India, added “This MoU reinforces Air India’s commitment to supporting the Government of India’s sustainability agenda while advancing our own target of achieving IATA’s Net Zero by 2050. Integrating sustainable fuels into our operations is critical to shaping the future of Indian aviation.”
Through this collaboration, Indian Oil and Air India aim to integrate certified green fuels into commercial operations, meeting and even exceeding CORSIA requirements for international flights. The partnership not only supports the decarbonization of air travel but also strengthens India’s position as a frontrunner in sustainable aviation and energy transition.
