Union Cabinet approves Amendments to National Policy on Biofuels - 2018

Union Cabinet today approved the Amendments to the National Policy on Biofuels - 2018. The amendments are intended to allow more feedstocks for the production of biofuels, advance the ethanol blending target of 20 per cent blending of ethanol in petrol and promote the production of biofuels in the country.

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

• To allow more feedstocks for the production of biofuels.
• To advance the ethanol blending target of 20 per cent blending of ethanol in petrol to ESY 2025-26 from 2030.
• 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).
• To add new members to the NBCC.
• To grant permission for the export of biofuels in specific cases, and
• To delete/amend certain phrases in the Policy in line with decisions taken during the meetings of the National Biofuel Coordination Committee.

The "National Policy on Biofuels - 2018" was notified by the Ministry of Petroleum and Natural Gas on June 4, 2018, in supersession of the National Policy on Biofuels, promulgated through the Ministry of New & Renewable Energy, in 2009.

Besides, the amendments are also to add new members to the National Biofuel Coordination Committee (NBCC) and grant permission for the export of biofuels in specific cases.

The amendments have been brought in view of advancements in the field of biofuels, various decisions taken in the 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 April 1, 2023.

The amendments will pave the way for the 'Make in India' drive thereby leading to a reduction in the import of petroleum products by a generation of more and more biofuels. Since many more feedstocks are being allowed for the production of biofuels, this will promote the Aatmanirbhar Bharat and give an impetus to Prime Minister Narendra Modi's vision of India becoming energy independent by 2047.