Overview
- The Panipat refinery secured ISCC CORSIA certification this month, becoming India’s first plant approved to produce sustainable aviation fuel from used cooking oil.
- Commercial output is scheduled to begin by December 2025 with an annual capacity of about 35,000 tonnes, which meets the 1% SAF blending target for international flights in 2027.
- IndianOil will source feedstock from large hotel chains, restaurants and snack manufacturers, but aggregating used cooking oil from smaller users remains a primary logistical challenge.
- SAF made from used cooking oil costs roughly three times more than conventional jet fuel, creating near-term price pressures for airlines.
- The SAF project is part of IndianOil’s broader low-carbon pivot, which also includes a Rs 5,000 crore Butyl Acrylate plant at Koyali and a 10,000 tpa green hydrogen unit at Panipat awarded to L&T.