Indian Oil, Akasa Air Partner for Sustainable Aviation Fuel

• Indian Oil and Akasa Air signed an LoI to explore future supply of sustainable aviation fuel
• The collaboration supports efforts to reduce emissions in India’s fast-growing aviation sector
• The partners will assess SAF volumes, delivery locations, timelines, and approved feed stocks

Indian Oil Corporation has signed a Letter of Intent with Akasa Air to explore the future supply of sustainable aviation fuel (SAF), which will help India achieve its goal to decarbonize the aviation industry that is currently expanding.

The agreement shows that airlines and fuel suppliers are making active progress to develop low-carbon solutions because of the mounting demands from regulators, investors and customers who want to see lower emissions.

The aviation industry in India keeps expanding rapidly, but sustainable aviation fuel (SAF) usage remains limited because of its high expenses and restricted availability. Industry stakeholders view partnerships such as this as essential for developing domestic supply chains, scaling production, and gradually bringing down costs.

The partnership will help Akasa Air achieve its long-term environmental objectives while supporting international climate targets of the entire industry.

The Letter of Intent was signed during Wings India 2026 in Hyderabad and it establishes a framework which both companies will use for their future cooperation.

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Shailesh Dhar, Country Head (Aviation Business) at Indian Oil Corporation stated, “This LOI reflects our commitment to scaling low-carbon fuels and supporting our customers in their energy transition. By leveraging our expertise across fuel production, supply, and logistics, we aim to play a meaningful role in enabling an early transition to the usage of SAF”.

The agreement requires Indian Oil and Akasa Air to assess all potential SAF supply volumes together with their delivery locations and implementation timelines. The partners will assess sustainable feedstocks together with production pathways which meet international aviation and fuel standards.

Sustainable aviation fuel is widely regarded as one of the most effective near-term solutions for reducing lifecycle greenhouse gas emissions from air travel.

The industry will use this technology as its main strategy to reach net-zero emissions which make this initiative essential for developing sustainable aviation in India.