The Union Minister of Petroleum and Natural Gas and Housing and Urban Affairs Hardeep Singh Puri said that India will show the world a new path on biofuels through the Global Biofuels Alliance (GBA).
Union Minister Puri said that in line with the mantra 'Vasudhaiva Kutumbakam', this effort of Prime Minister Narendra Modi will definitely reduce the dependence on petrol and diesel across the world.
- Creating history in the global energy sector, Prime Minister Narendra Modi announced the launch of the Global Biofuels Alliance (GBA) on the sidelines of the G20 Summit on 10 September 2023.
Countries and organizations included in the GBA:
- 19 countries and 12 international organizations have already agreed to join the GBA.
- The GBA is an India-led initiative to develop a coalition of governments, international organizations and industry in order to facilitate the adoption of biofuels.
- Bringing together the largest consumers and producers of biofuels for development and utilization of biofuels, this initiative aims to position biofuels as a key component of the transition to energy sources.
- Union Minister Puri said that the world's effort for clean and green energy has gained historic momentum with the launch of the GBA on the occasion of the G20 Summit.
- The Indian Minister of Petroleum and Natural Gas expressed gratitude to US Department of Energy Secretary Jennifer Granholm, Brazilian Energy Minister Alexandre Silveira and Dr. Evandro Gussi, President and CEO of UNICA Brazil for initiating the formation of the Global Biofuels Alliance.
- Union Minister Puri said that the visionary Global Biofuels Alliance is supported by the G20 countries and energy-related global organizations such as the International Energy Agency (IEA), the International Civil Aviation Organization (ICAO), the World Economic Forum (WEO), and the World LPG Association, among others.
Helping farmers to transform from 'Annadata to Urjadata':
- This will help strengthen global biofuels trade and best practices and ensure equitable supply of energy to members.
- This step will help farmers to transform from 'Annadata to Urjadata' and will also provide them an additional source of income.
- In the last 9 years the government has given Rs 71,600 crore to farmers. With E20 implementation by 2025, India will save approximately Rs 45,000 crore in oil imports and 63 metric tonnes of oil annually.
- The GBA will support the worldwide development and use of sustainable biofuels by promoting capacity-building exercises across the entire value chain and technical assistance to national programs and policy experience sharing.
- It will facilitate mobilizing a virtual marketplace to connect industries, countries, ecosystem companies, key stakeholders to assist in mapping demand and supply as well as connect technology providers to end users.
- It will also facilitate the development, adoption and implementation of internationally recognized standards, codes, sustainable principles and regulations to encourage biofuels adoption and trade.
GBA will be beneficial for India in many ways:
- This initiative will be beneficial for India on many fronts. The GBA, as a concrete outcome of the G20 Chairmanship, will help strengthen India's position globally.
- Furthermore, the alliance will focus on cooperation and provide additional opportunities to Indian industries in the form of technology exports and equipment exports.
- This will help accelerate India's existing biofuel programs such as PM-Jeevan Yojana, SATAT and Gobardhan Yojana.
- This will contribute to increasing farmers' income, creating jobs and overall development of the Indian ecosystem.
Global ethanol market will grow rapidly:
- The global ethanol market was valued at $99.06 billion in the year 2022. It is estimated that the ethanol market will grow at a CAGR of 5.1% by the year 2032 and will cross $162.12 billion by the year 2032.
- According to the IEA, the net zero target is likely to lead to a 3.5-5 times increase in biofuels by 2050, creating huge opportunities for India.
What is biofuel?
- Biofuel is made up of two English words – Bio + Fuel. Bio refers to the waste material of plants, algae and animals, while fuel means fuel. That is, preparing fuel from the waste material of plants, algae and animals is called biofuel.
- These types of fuels are naturally replenished continuously through life cycle, hence they are considered as renewable sources of energy.
- Any hydrocarbon fuel that is produced over a short period of time from an organic substance is considered a biofuel. It can be solid, liquid or gaseous in nature.
- Solids: wood, dried plant material and compost
- Liquid: Bioethanol and Biodiesel
- Gaseous: Biogas
Benefits of Biofuels:
- Besides ensuring stable energy supply, it also contributes to climate security.
- Biofuels are much cleaner than traditional fossil fuels.