Eye on sustainable aviation fuel projects in the Asia-Pacific region

Singapore plans to require all flights departing from the country to use sustainable aviation fuel (SAF) starting in 2026, Transport Minister Chee Hong Tat said on Feb 19, as the city state joins the global aviation industry's efforts to switch to greener fuel.

SAF, or alternative fuel made from renewable sources used to power aircraft, is crucial for the aviation sector to reach its goal of net-zero carbon emissions by 2050, but its adoption remains in a nascent phase.

Here is a look at SAF projects and agreements in the Asia-Pacific region.

MALAYSIA

Malaysia has established an SAF blending mandate starting with 1 per cent, according to the National Energy Transition Roadmap published by the government in 2023. It is targeting a 47 per cent SAF blending mandate by 2050.

Malaysian state oil company Petronas and Japan's second-biggest oil refiner, Idemitsu Kosan, signed a preliminary agreement to collaborate on development and distribution of SAF in October 2023.

Petronas and Malaysia's palm oil board also signed an agreement to study the use of cooking oil and palm oil waste as SAF in August 2023.

Malaysia Aviation Group signed an SAF offtake agreement with Petronas Dagangan Petronas' domestic marketing arm - as part of efforts to develop the green fuel on a commercial scale in Malaysia, in May 2023.

INDIA

India aims to have 1 per cent SAF in aircraft turbine fuel by 2027, doubling it to 2 per cent in 2028, the government said in November 2023. The SAF targets will initially apply to international flights.

Indian Oil Corp will set up an 80,000 metric tonne-per-year SAF plant with sustainable fuel tech company LanzaJet in Haryana state, the refiner's chairman said in 2023. Indian Oil has a tie-up with LanzaTech for converting waste gas into ethanol and jet fuel.

SINGAPORE

Singapore announced on Feb 19 it would aim for a 1 per cent SAF target starting in 2026 and plans to raise it to 3 per cent to 5 per cent by 2030, subject to global developments and the wider availability and adoption of SAF.