Key insights and market outlook
The Indonesian government is accelerating the adoption of Sustainable Aviation Fuel (SAF) to reduce carbon emissions from the aviation sector. Key initiatives include developing a SAF roadmap, implementing MRV (Monitoring, Reporting, and Verification) mechanisms, and adopting the CORSIA (Carbon Offsetting and Reduction Scheme for International Aviation) standards 1
The Indonesian government is taking significant steps to reduce carbon emissions from the aviation sector through the adoption of Sustainable Aviation Fuel (SAF). Key initiatives include:
These measures are designed to not only reduce emissions but also position Indonesia as a potential major SAF supplier in Southeast Asia 1
Major industry players are actively collaborating on SAF development:
The government has established a task force to accelerate SAF industry development, focusing on both domestic implementation and international collaboration. The initiative is part of Indonesia's broader commitment to achieving Net Zero Emission by 2060 2
While Indonesia has significant potential to become a SAF producer using domestic feedstock like used cooking oil and agricultural waste, challenges remain in terms of production costs and supply chain development. Industry leaders emphasize that collaboration and innovation will be crucial to overcoming these challenges and achieving a sustainable aviation sector.
SAF Roadmap Development
CORSIA Implementation
Industry Collaboration for SAF Production