India can produce green jet fuel at 40 pc below global cost: Study
New Delhi, July 21
India is uniquely positioned to produce enough sustainable aviation fuel to supply global markets at costs up to 40 per cent below global benchmarks on the back of the country's booming renewable energy sector, according to a joint study by IECC at UC Berkeley and Energy Innovation.
While highlighting the study, a report in OIlprice.com states that India can transform its crude oil import vulnerabilities into a multibillion-dollar export industry by scaling Power-and-Biomass-to-Liquids (PBtL) Sustainable Aviation Fuels into a $9 billion export opportunity by 2030 and $30 billion by 2040.
India produces vast amounts of surplus crop residue--which is traditionally burned by farmers--and collecting just 4 per cent of this residue would be enough to produce 25 per cent of global SAF requirements while creating direct income streams for rural communities.
Because the process relies on crop residues and forestry waste rather than food crops, it also avoids one of the biggest criticisms of conventional biofuels. When combined with carbon capture and storage, the technology can even remove more carbon dioxide from the atmosphere than it emits over its lifecycle, the report by Alex Kimani points out.
India has set a policy mandate targeting a 5 per cent SAF blending requirement in jet fuel by 2030, ensuring a ready, regulated domestic market alongside its global export ambitions. India's investment in SAF is also intended to reduce its long-term exposure to volatile jet fuel markets.
The report further states that India's policy support and improving production economics are starting to attract investment attention, too. California-based Aemetis is exploring an initial public offering (IPO) for its Universal Biofuels subsidiary in India. Proceeds will help fund a dedicated SAF plant in the country while adding the capability to convert biodiesel into SAF for both domestic and international airlines.
Universal Biofuels already operates an 80-million-gallon-per-year production facility on India's east coast, supplying tens of millions of liters of biodiesel to the country's three state-owned oil marketing companies (OMCs). Aemetis currently holds $3.8 billion of SAF supply contracts with major airlines, alongside a $3.2 billion renewable diesel supply agreement, the report added.
— IANS
Reader Comments
"Collecting just 4% of crop residue would produce 25% of global SAF requirements." This is huge! But we need to ensure farmers actually get paid fairly for this residue instead of burning it. Government should set up collection centers in every block. Also, what about stubble burning in Punjab and Haryana? This could literally solve that pollution nightmare while generating income for farmers. Win-win-win! 🌾✈️
Sounds promising on paper, but I'm sceptical. We've had many 'green energy revolutions' announced but implementation is always slow. Remember the ethanol blending targets? Still lagging. Plus, carbon capture and storage is still expensive and unproven at scale. Let's see if Aemetis actually builds that plant or if it's just IPO hype. Also, who will ensure the crop residue collection doesn't harm soil fertility? 🤔
As someone working in aviation fuel logistics, this is impressive. India leveraging its renewable energy capacity to make green hydrogen cheaper, then combining it with biomass waste is a smart approach. The key will be infrastructure—transporting crop residues efficiently from farms to processing plants. If India can solve that rural logistics puzzle, $30 billion by 2040 is achievable. Big potential for rural employment too! 🌱
Finally, a use for the tons of crop residue that farmers burn each year! My family in Punjab still does that and the smog chokes Delhi every winter. If we can turn that waste into valuable jet fuel and pay farmers for it, everyone benefits. But the government needs to educate farmers and provide collection machinery. Also, we must ensure the carbon capture part is real and not just greenwashing. Lets make India a clean energy export leader! 🌏
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