Sankla Buildcoon Announces ₹15,000 Crore Sustainable Aviation Fuel Investment in Maharashtra

Pune, January 28, 2026: The Sankla Buildcoon, through its associate clean-energy platform Sankla Renewables, has entered into a Memorandum of Understanding (MoU) with the Government of Maharashtra to develop a INR 15,000 crore Sustainable Aviation Fuel (SAF) manufacturing project at Chalisgaon, Jalgaon District, Maharashtra.

The MoU was formalized at the World Economic Forum, Davos, Switzerland, reinforcing Maharashtra’s positioning as a preferred destination for large-scale, transition-aligned industrial investments. The project represents the Group’s strategic expansion from real estate-led value creation into long-duration, infrastructure-grade clean energy assets.

Project Overview and Strategic Rationale

The proposed SAF facility will convert agricultural residue feedstock, including sugarcane bagasse, cotton stalks, soybean husk, and pigeon pea waste, into aviation-grade sustainable fuel using internationally certified conversion technologies.

Chalisgaon has been selected based on its:

• Proximity to high-volume agricultural catchments
  Multi-modal logistics connectivity via the Mumbai–Agra National Highway, Samruddhi Mahamarg, and Central Railway
  Availability of scalable land parcels suitable for phased industrial development
  Strong local partnerships
• The project is structured for phased commissioning through 2029, enabling capital-efficient deployment and risk-managed scale-up.

Capital Structure and Investment Framework

• Total planned investment: INR 15,000 crore
• Implementation: Phased development aligned with feedstock aggregation and offtake ramp-up
• Asset profile: Infrastructure-grade, long-life manufacturing asset
• Revenue visibility: Linked to long-term aviation fuel demand and decarbonization mandates
• The initiative aligns with India’s national objectives on energy security, import substitution, and aviation decarbonization, while supporting state-level industrial growth priorities.

ESG, Sustainability, and Policy Alignment

The project has been designed to meet global ESG benchmarks and emerging climate change criteria:

• 100% renewable energy-powered operations
• Closed-loop water management with 100% reuse
• Electric vehicle–based internal logistics
• Zero-liquid-discharge and low-emissions process design
• Full compliance with Environmental, Social, and Governance norms
• Beyond emissions reduction, the project embeds rural economic participation by creating a formal market for agricultural residues, enabling:
• Long-term feedstock procurement contracts for farmers
• Incremental rural income streams
• Reduction in open-field residue burning
• Economic Impact and Workforce Development

Upon full commissioning, the project is expected to generate:

• Over 3,000 direct, indirect jobs
• Several thousand indirect jobs across logistics, services, and supply chains
• In partnership with local institutions, Sankla Renewables plans to implement structured skill development and training programs to ensure availability of a qualified local workforce and long-term operational sustainability.

Commenting on the strategic intent, Sahil Sankla, Director, Sankla Buildcoon, stated, “This investment marks a deliberate shift towards sustainability-led growth. Over the past 25 years, we have built trust by delivering high-quality real assets to more than 15,000 customers. Through Sankla Renewables, we are now deploying that execution discipline into clean energy infrastructure that aligns commercial returns with national climate and energy priorities. Sustainable Aviation Fuel represents a structurally growing market, and we believe this platform can emerge as a cornerstone asset in India’s energy transition.”