India can emerge as a low-cost global hub for sustainable aviation fuel production through utilising low-cost solar power and crop residue, leading to a reduction of production cost up to 40 percent compared to global benchmarks, according to a new report by the India Energy & Climate Center (IECC) at UC Berkeley and Energy Innovation.
India is one of the few countries having the two most critical resources for the production of Sustainable Aviation Fuel (SAF) and the cheapest power for green hydrogen production, the report, ‘India's Aviation Opportunity: Turning Agricultural Residue and Low-Cost Solar into Competitive Sustainable Aviation Fuel with Power-and-Biomass-to-Liquids’ states.
The study further mentions that India could potentially increase its annual export up to $9 billion, rising to $30 billion by 2030, by just supplying a quarter of the total global SAF market.
Furthermore, the report revealed that SAF production could reduce dependence on imported crude oil and prevent the aviation sector’s exposure to fuel price volatility driven by geopolitical uncertainties. The industry could create a market for agricultural waste, helping curb stubble burning, leading to a reduction of crop residue.
