Govt, industry must create significant incentive, logistics structure for SAF: SpiceJet CMD Ajay Singh

SpiceJet CMD Ajay Singh urges government-industry collaboration to boost sustainable aviation fuel (SAF) production, crucial for emission reduction. He proposes locating SAF refineries near airports to cut transportation costs and integrating SAF production into existing oil refineries. Singh emphasizes the need for significant incentives and logistical support to scale up SAF production from 0.

Govt, industry must create significant incentive, logistics structure for SAF: SpiceJet CMD Ajay Singh
The government and industry have to come together and create a "significant incentive and logistic structure" for the production of sustainable aviation fuel (SAF) to help reduce carbon emissions, SpiceJet CMD Ajay Singh said on Wednesday.

Discussions have been held with the Prime Minister's Office for allotment of spaces near airports for SAF refineries to save on transportation costs, and also with oil marketing companies, including IOC , BPCL and HPCL , to build a mini refinery for SAF production in their existing refineries, he added.

"I think one of the things that we need to do is to have these SAF refineries, which are relatively simpler, probably closer to airports.

If you're really serious about it. We've had this discussion with the PMO as well, that, can you allot spaces, which are close to airports so that the transport cost, which is the largest part of that cost, because you know you have to address these issues," Singh said.

The SpiceJet CMD said at that some point the government and the industry have to get together and create a significant incentive and logistic structure to make SAF. In 2023, the production of SAF stood at around 0.5 million tonnes and the amount has to be increased multiple folds by 2050.

Live Events The International Air Transport Association (IATA) earlier said it would establish the SAF Registry to accelerate the uptake of the fuel by authoritatively accounting for and reporting emissions reductions from the use of the fuel.

Related Fuel News

More updates you might want to read next.

Kanpur-Kabrai NH-34 Highway Cleared At Rs 7,145 Crore: Why The BOT Toll Corridor Matters For Freight

The Cabinet has approved a Rs 7,145.14 crore, 117.7-km access-controlled greenfield highway between Kanpur and Kabrai on NH-34 in Uttar Pradesh. The BOT toll project is designed to cut travel time from 3.5 hours to 1.5 hours, strengthen links to the Kabrai mining belt and Bundelkhand corridor, and lower logistics friction for freight, construction material and agricultural movement.

India Resets Export Duty On Petrol, Diesel And ATF From July 1: Why Refiners, Airlines And Fuel Users Should Watch It

India has reset windfall-linked export duties from July 1, 2026 by raising the levy on petrol exports to Rs 4 per litre while cutting diesel and aviation turbine fuel export duties to Rs 8.50 and Rs 7.50 per litre respectively. The move matters because it changes refining economics, export incentives and the downstream pressure points that can eventually shape domestic fuel availability, airline costs and broader transport pricing.

Commercial LPG Down Rs 183.50, ATF Cheaper By Rs 5: What July Relief Means

State-run oil companies cut the 19-kg commercial LPG cylinder price by Rs 183.50 from July 1, 2026 and reduced aviation turbine fuel by Rs 5 per litre to about Rs 110 in Delhi. The move offers relief to restaurants, hotels and airlines, but household LPG, petrol and diesel users are still waiting.