The Union Cabinet, chaired by Prime Minister Narendra Modi, today, approved amendments to the National Policy on Biofuels, 2018. Various decisions have been taken through meeting with National Biofuel Coordination Committee (NBCC). The amendments will allow more scope for raw materials for ethanol blending and increase the use of feedstock in its production. These changes have been implemented to reduce import of petroleum products and boost indigenous production of biofuels.
The cabinet has decided to infuse more feedstock to increase production of ethanol in the country. Until now only ethnol produced from sugarcane was allowed to be mixed with petrol, but with the reforms this will change. The government will aim to introduce 20% ethanol blended petrol across India from April 2023.
Furthermore, the government will promote biofuel production in the country through units located in Special Economic Zones (SEZ) and Export Oriented Units (EoUs), under the Make in India program. The government will also look into allowing exports of certain biofuels.
The government said, “Since many more feedstocks are being allowed for production of biofuels, this hopes to promote the Atmanirbhar Bharat and give an impetus to PM’s ‘energy independent’ by 2047.”
There will also be a review of the NBCC and several decisions regarding the management will be taken. It is most possible that NBCC will bring in new members.
In the statement, the government said, “The proposal will also attract and promote the development of indigenous technology that will pave the way for a Make in India drive and therefore create more jobs.”