National Policy on Biofuels

The government's ongoing efforts, such as Make in India, Swachh Bharat Abhiyan, and skill development, as well as the ambitious goals of doubling farmer income, reducing imports, creating jobs, and turning waste into wealth, make biofuels strategically important in India. India's biofuels program has been significantly hindered by the ongoing and significant lack of domestic feedstock for biofuel production, which needs to be addressed.

What is National Policy on Biofuels?

A National Policy on Biofuels was created by the Ministry of New and Renewable Energy in 2009 to encourage the use of biofuels throughout the nation. In the past ten years, biofuels have attracted attention on a global scale, and it is critical to stay up with the rate of advancements in the industry.

In India, biofuels are strategically significant and align well with government plans.

• India continues to rely largely on imported crude oil to meet its domestic energy needs. However, changes in the price of crude oil on the global market could have a big impact on emerging nations.

• The ongoing and significant lack of indigenous feedstock for biofuel production has had a negative influence on India's biofuels program, which has to be addressed.

• In 2007, a draft of the national biofuels policy was discovered, and by 2009, it had been published.

Salient Features of National Policy on Biofuels (NBP)

There are four main features of National Biofuels policy-

Images Coming Soon

Scope of Raw Material

By authorizing the use of sugarcane juice, sugar-containing materials like sugar beet and sweet sorghum, starch-containing materials like corn and cassava, and damaged food grains like wheat, broken rice, and rotten potatoes, the policy broadens the range of raw materials available for the manufacturing of ethanol.

Protection of Farmers

In times of surplus production, farmers run the danger of not receiving a fair price for their crop. In light of this, the policy permits, with the consent of the National Biofuel Coordination Committee, the use of surplus food grains for the production of ethanol for blending with gasoline.

Boost to biodiesel production

The Policy promotes the establishment of supply chain mechanisms for the manufacture of biodiesel from short-gestation crops, used cooking oil, and non-edible oilseeds.

Viability Gap Funding

The policy, which places a focus on advanced biofuels, suggests a viability gap finance plan for 2G ethanol biorefineries of Rs 5,000 crore in 6 years, in addition to increased tax incentives and a higher purchase price as compared to 1G biofuels.

Amendments of National Policy on Biofuels

The "National Policy on Biofuels—2018" was made public by the Ministry of Petroleum and Natural Gas on June 4, 2018, and it replaces the National Policy on Biofuels that was released by the Ministry of New and Renewable Energy in 2009.

The National Policy on Biofuels has been amended in response to developments in the field of biofuels, decisions made at National Biofuel Coordination Committee (NBCC) meetings to increase biofuel production, recommendations from the Standing Committee, and the decision to advance the introduction of ethanol-blend gasoline with up to 20% ethanol nationwide beginning on April 1, 2023.

The National Policy on Biofuels has been approved with the following major changes −

• Allowing new sources of biomass for biofuel production, moving up the deadline for blending 20% of ethanol into gasoline from 2030 to ESY 2025–2026,

• To encourage the production of biofuels in the nation through the "Make in India" program by businesses situated in Special Economic Zones (SEZ) or Export Oriented Units (EoUs),

• To encourage the production of biofuels in the nation through the "Make in India" program by businesses situated in Special Economic Zones (SEZ) or Export Oriented Units (EoUs).

Benefits of the National Policy on Biofuels

The following advantages are provided under the 2018 National Biofuels Policy −

• It lessens the reliance of the nation on imports.

• It encourages an environment that is cleaner: Because agricultural waste and residue are transformed to bio-ethanol, there is a decrease in the burning of crops as a result.

• Although cooking oil reuse has serious health risks, it is a possible source of fuel for biodiesel.

• Additionally, it helps in managing municipal solid waste (MSW). There are technologies that can turn the garbage and plastic in MSW into biofuels. Such trash has the potential to reduce the need for fuel by 20% or more per ton.

• Jobs will be created as a result of the biofuel production process.

In order to stabilize prices and consequently provide an extra source of energy, surplus grains and agricultural biomass can be converted.

Conclusion

A National Policy on Biofuels was created by the Ministry of New and Renewable Energy in 2009 to encourage the use of biofuels throughout the nation. In the past ten years, biofuels have attracted attention on a global scale, and it is critical to stay up with the rate of advancements in the industry. The government's ongoing efforts, such as Make in India, Swachh Bharat Abhiyan, and skill development, as well as the ambitious goals of doubling farmer income, reducing imports, creating jobs, and turning waste into wealth, make biofuels strategically important in India. India's biofuels program has been significantly hindered by the ongoing and significant lack of domestic feedstock for bio-fuel production, which needs to be addressed.

FAQs

Q1. When was National Policy on biofuels launched in India?

Ans. The ongoing and significant lack of indigenous feedstock for biofuel production has had a negative influence on India's biofuels program, which has to be addressed. In 2007, a draft of the national biofuels policy was discovered, and by 2009, it had been published.

Q2. What is the Objective of the National Policy on Biofuels 2018?

Ans. The program aims to move toward the loose goal of attaining a 20% blending of fossil-based fuels with biofuels by 2030.

Q3. What criteria are used to classify biofuels?

Ans. First, second, third, and fourth-generation biofuels are the different categories of biofuels. They can be identified by their biomass sources, limits as a renewable energy source, and technical advancement.