Uttar Pradesh mulls SAF policy as investors express interest

The Uttar Pradesh government is preparing to launch the Uttar Pradesh Sustainable Aviation Fuel (SAF) Manufacturing Promotion Policy-2025, which officials say will be the first of its kind in India. The policy aims to position the state as a leading hub for sustainable aviation fuel production while offering economic benefits to local farmers.

Chief Secretary Manoj Kumar Singh introduced the policy framework to industry leaders and investors at a roundtable organized by Invest UP. The event featured a comprehensive presentation on the state’s SAF vision and encouraged dialogue with established companies and potential investors to help shape a robust and investor-friendly policy.

Singh outlined key features of the upcoming SAF policy, including a range of incentives for businesses, streamlined government support, and a focus on leveraging the state’s strengths as a production hub. Notably, the policy is designed to create a win-win model that supports both clean energy goals and the agricultural sector.

Singh held that SAF policy not only promotes our transition to clean energy but also ensures direct economic benefits for our farmers. By utilizing biomass and grain-based feedstocks such as sugarcane bagasse, rice husk, wheat straw, and surplus grains, the SAF industry can create new revenue streams for farmers in Uttar Pradesh.

The event was also graced by Invest UP CEO Vijay Kiran Anand and senior officials from various departments, underscoring the government’s commitment to fostering a sustainable and inclusive industrial ecosystem in the state.

The roundtable also covered critical issues such as land availability, the policy framework, and ease of doing business. Over 18 companies, including major players like Greenko, New Era Clean Tech Solutions and Oasis Group, expressed strong interest in investing in the SAF sector in Uttar Pradesh.

Uttar Pradesh has already received investment intents worth over Rs 3,000 crore, signalling high industry confidence in the initiative.

Investors offered valuable feedback on various aspects of the draft policy, including land allotment procedures, proposed incentive mechanisms, and their expectations from the government to ensure the policy’s success.

Chief Secretary Singh also highlighted the state’s extensive infrastructure, which includes five international airports, as well as robust air, rail, and road connectivity, making Uttar Pradesh an ideal location for SAF production and distribution.

Prior to the event, Invest UP had issued an Expression of Interest (EOI) inviting global technology providers and clean energy innovators to participate in the initiative.