The rapid growth of the aviation industry has led to a rising demand for aviation fuel. This escalating reliance on fossil fuels raises concerns about the depletion of crude oil reserves and intensifying environmental consequences. As a response, alternative fuels are being developed, particularly environmentally sustainable and renewable biofuels. Among these, the conversion of biodiesel into green diesel has emerged as a promising solution. This conversion can improve fuel quality and address several issues associated with biodiesel, such as low energy content and incomplete combustion due to high oxygen content. Although green diesel policies have been in place in Indonesia since 2013, their practical implementation is still evolving. Sustainable aviation fuels (SAF) are essential for achieving zero-carbon aviation by 2050, requiring accelerated adoption through technological advancements and supportive policies. As the world’s leading palm oil producer, Indonesia is well-positioned to lead the regional implementation of green diesel as SAF. Realizing this potential will depend on leveraging economic instruments, fostering inter-regional partnerships, and integration with international supply chains. This paper assesses Indonesia's readiness to adopt drop-in SAF from palm oil biodiesel.