Cabinet approves Amendments to the National Policy on Biofuels -2018

The Union Cabinet, chaired by Prime Minister Shri Narendra Modi, has approved the Amendments to the National Policy on Biofuels -2018.

The “National Policy on Biofuels – 2018” was notified by Ministry of Petroleum and Natural Gas on 04.06.2018 in supersession of National Policy on Biofuels, promulgated through the Ministry of New & Renewable Energy, in 2009.

Due to advancements in the field of Biofuels, various decisions taken in the National Biofuel Coordination Committee (NBCC) meetings to increase biofuel production, recommendation of the Standing Committee and the decision to advance to introduce Ethanol Blended Petrol with up to twenty per cent ethanol throughout the country from 01.04.2023, amendments are done to the National Policy on Biofuels.

The following are the main amendments approved to the National Policy on Biofuels:

1. to allow more feedstocks for production of biofuels,
2. to advance the ethanol blending target of 20% blending of ethanol in petrol to ESY 2025-26 from 2030,
3. to promote the production of biofuels in the country, under the Make in India program, by units located in Special Economic Zones (SEZ)/ Export Oriented Units (EoUs),
4. to add new members to the NBCC.
5. to grant permission for export of biofuels in specific cases, and
6. to delete/amend certain phrases in the Policy in line with decisions taken during the meetings of National Biofuel Coordination Committee.

This proposal will also attract and foster developments of indigenous technologies which will pave the way for Make in India drive and thereby generate more employment.

The existing National Policy on Biofuels came up during year 2018. This amendment proposal will pave the way for Make in India drive thereby leading to reduction in import of petroleum products by generation of more and more biofuels. Since many more feedstocks are being allowed for production of biofuels, this will promote the Atmanirbhar Bharat and give an impetus to Prime Minister’s vision of India becoming ‘energy independent’ by 2047.