BPCL, Akasa Air join hands to boost Sustainable Aviation Fuel adoption in India

State-run Bharat Petroleum Corporation Ltd. (BPCL) and Akasa Air have signed a strategic Memorandum of Understanding (MoU) to collaborate on the development and adoption of Sustainable Aviation Fuel (SAF) in India, as the aviation industry steps up efforts to reduce carbon emissions.

The partnership aims to strengthen India's emerging SAF ecosystem and supports the country's broader decarbonisation goals while aligning with global aviation sustainability initiatives, including the International Civil Aviation Organization's (ICAO) Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA).

The MoU was signed on July 14 by Sujit Kumar, Chief General Manager – Marketing (Aviation), BPCL, and Ankur Goel, Chief Financial Officer, Akasa Air, in the presence of senior officials from both organisations.

As part of the agreement, BPCL and Akasa Air will establish a framework for the supply and offtake of SAF-blended Aviation Turbine Fuel (ATF) at selected airports across the country. The two companies will also work on improving long-term supply readiness by sharing indicative fuel demand forecasts, supporting production planning, and progressively increasing SAF blending as India's domestic production ecosystem develops.

Beyond fuel supply, the collaboration will focus on knowledge sharing, policy advocacy, and engagement with government bodies and industry stakeholders to help accelerate the growth of India's SAF ecosystem.

BPCL said it is expanding its clean energy initiatives as part of its long-term energy transition strategy. The company is investing in a 61-kilotonnes-per-annum (KTPA) Sustainable Aviation Fuel production facility at its Mumbai Refinery, which is expected to strengthen domestic SAF availability in the coming years.

The oil marketing company also highlighted its digital aviation platform, Be-Winged, which has been developed to improve operational efficiency and customer experience across its aviation fuel business.

Akasa Air said the partnership complements its sustainability strategy, which has focused on operating a modern and fuel-efficient fleet while adopting responsible operational practices. The airline said the collaboration with BPCL would strengthen its preparedness to use SAF as commercial availability improves in India.

Sustainable Aviation Fuel is produced from renewable feedstocks such as used cooking oil, agricultural waste, biomass and municipal waste. It can significantly reduce lifecycle greenhouse gas emissions compared with conventional aviation fuel while being compatible with existing aircraft engines and airport infrastructure.

The partnership comes as India's aviation sector prepares for stricter global emissions standards and increasing pressure to adopt cleaner fuels. Industry experts believe expanding domestic SAF production and creating reliable supply chains will be critical for airlines to meet future sustainability targets while reducing dependence on imported fossil fuels.