Indonesia's Pertamina, Boeing sign MoU on sustainable aviation fuel development

Indonesian state energy firm Pertamina and U.S. aerospace giant Boeing have inked a memorandum of understanding (MoU) to explore the development of a sustainable aviation fuel (SAF) industry within the archipelago. This partnership is designed to bolster Indonesia's ambitious drive to decarbonize its aviation sector and move towards its net-zero emissions targets.

The agreement outlines a collaborative approach to identifying suitable feedstock sources, advancing SAF technologies, and shaping supportive policies for the burgeoning industry. Pertamina CEO Simon Aloysius Mantiri expressed confidence that the collaboration will accelerate the creation of a competitive SAF sector, generating significant economic value for Indonesia. Boeing Indonesia Managing Director Indra Duivenvoorde highlighted Indonesia's potential to emerge as a regional frontrunner in sustainable aviation.

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We are confident this collaboration will accelerate the development of a competitive SAF industry, and create greater value for Indonesia's economy.

Boeing forecasts a substantial growth in Southeast Asia's passenger traffic, projecting a need for nearly 4,900 new aircraft by 2044, with SAF adoption being crucial for mitigating aviation emissions. Pertamina has already initiated several SAF projects, including production, certification, and the use of SAF by its subsidiary Pelita Air. The company is also developing its Cilacap Biorefinery project, which will produce SAF from used cooking oil and other sustainable waste materials.

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Indonesia had the potential to become a regional leader in sustainable aviation.