Pertamina and Boeing Explore Sustainable Aviation Fuel Development
PT Pertamina (Persero) and Boeing have signed a Memorandum of Understanding (MoU) to explore the development of a Sustainable Aviation Fuel (SAF) ecosystem in Indonesia as part of efforts to support the decarbonisation of the aviation sector and accelerate the energy transition towards Net Zero Emission (NZE).
In line with President Prabowo Subianto’s Asta Cita vision, Indonesia continues to promote the development of SAF as a solution to reduce carbon emissions in the aviation sector while supporting the creation of a more sustainable aviation industry. According to the ASEAN 2050 SAF Outlook report, Indonesia ranks among the top three in ASEAN with a projected SAF production surplus potential of up to 2.2 million barrels per day by 2050.
Through this collaboration, Pertamina and Boeing will work together to explore various aspects of the SAF ecosystem in Indonesia, including the identification of potential feedstock, technology development, and support for the formulation of policies needed to accelerate its implementation.
PT Pertamina President Director Simon Aloysius Mantiri stated that this collaboration is not merely about fuel development but represents a long-term investment to build a national SAF industry. “With abundant domestic resources, Pertamina’s processing capabilities, and Boeing’s global aviation expertise, we are optimistic that this collaboration will accelerate the development of a competitive SAF industry, create added value for the national economy, and simultaneously support the decarbonisation of the aviation sector,” he explained in a press release on Thursday (9/7/2026).
Boeing estimates that air passenger traffic in Southeast Asia will grow by an average of 7% per year, requiring up to 4,885 new aircraft by 2044. Amid this growth, the utilisation of Sustainable Aviation Fuel (SAF) is a key solution to reduce the aviation sector’s carbon emissions. In its pure form (neat SAF), this fuel has the potential to reduce aviation’s carbon footprint by up to 80% compared to conventional jet fuel.
“Indonesia has a very strategic position to lead sustainable aviation development in Southeast Asia,” said Indra Duivenvoorde, Managing Director of Boeing Indonesia. “We welcome the collaboration with Pertamina on various SAF initiatives, from identifying potential feedstock to supporting education and training programmes to accelerate the development of the SAF ecosystem in Indonesia. This collaboration is expected to support a more sustainable future for Indonesia’s aviation industry while contributing to national economic growth.”
As part of the national SAF ecosystem development, Pertamina has initiated several programmes, including the production and certification of Pertamina Sustainable Aviation Fuel (SAF), its implementation in partnership with Pelita Air, and the development of the Cilacap Biorefinery project by PT Pertamina Patra Niaga to produce SAF and Hydrotreated Vegetable Oil (HVO) using used cooking oil and other sustainable waste-based feedstocks.