Published: 11:19 PM, 20 September 2023 Last Update: 11:23 PM, 20 September 2023
Global Biofuel Alliance: A catalyst for sustainable energy transformation
On the momentous inaugural day of the G20 New Delhi Leaders' Summit on September 9, 2023, Indian Prime Minister Narendra Modi launched the Global Biofuel Alliance (GBA) in the presence of prominent leaders from the USA, Brazil, the UAE, Singapore, Italy, Argentina, Bangladesh and Mauritius. This new collective seeks to accelerate the worldwide adoption of biofuels by promoting technological innovation, enhancing the sustainable use of biofuels, establishing robust standards & certifications, and involving diverse stakeholders.
The GBA will also serve as a central repository of knowledge and an expert hub, playing a pivotal role in catalysing global collaboration to advance and widely embrace biofuel technologies. Positioned on par with the International Solar Alliance, the primary objectives of the Biofuel Alliance encompass expediting the widespread adoption of biofuels, innovating new biofuel technologies, establishing universally acknowledged standards, pinpointing global exemplary practices, and fostering active engagement from the industry.
Remarkably, this "watershed moment" arrives during a month adorned with the significance of three pivotal environmental occasions. The 7th of September heralds the observance of the International Day of Clean Air for Blue Skies, a day dedicated to the pursuit of pristine skies and air quality, followed by the International Day for the Preservation of the Ozone Layer on the 16th of September, we commemorate the International Day for the Preservation of the Ozone Layer, emphasising our commitment to safeguarding this vital shield against harmful radiation.
As the month draws to a close, we culminate in the celebration of World Environment Health Day on September 26, a day that underscores the profound interplay between our environment and well-being. This confluence of environmental milestones serves as a poignant reminder of our collective responsibility to nurture and protect the natural world upon which our existence and the delicate balance of our planet depend.
Biofuels encompass any fuel derived from agricultural produce or organic waste. Throughout history, humans have harnessed the power of biofuels, exemplified by the burning of materials such as wood and manure for essential purposes like cooking, heating, and illumination. In recent decades, biofuels have gained widespread recognition due to their potential to offer cleaner energy alternatives. These biofuels are categorised into different "generations" based on their origins. First-generation biofuels originate from food crops like corn and sugar cane, while second-generation biofuels are derived from non-edible vegetation and agricultural waste. Third-generation biofuels are sourced from algae.
Well-known biofuels such as ethanol, biodiesel, and biogas can be produced from any of these sources and are classified according to their origin. For instance, ethanol created from corn grown on farms falls under the category of first-generation ethanol. Biofuels are used in various modes of transportation, spanning from passenger vehicles to trucking, shipping, and aviation. These fuels offer a distinct advantage over conventional fossil fuels, as they generate minimal to no emissions when used in engines. In contrast, the gasoline and diesel they are typically mixed with do not share this environmentally friendly characteristic.
There is an optimistic outlook that biofuels could eventually replace fossil fuels entirely in the fields of aviation and specific types of marine vessels. This transition holds the promise of reducing the carbon footprint associated with these modes of transport. This prospect becomes even more compelling if biofuels can be derived from organic waste and non-edible crops cultivated on wastelands. Such a sourcing approach would significantly enhance the overall environmental cleanliness of biofuels.
19 countries and 12 international organizations have so far agreed to join the alliance, of which India, Brazil, and the United States are the founding members. These three collectively account for approximately 85% of worldwide ethanol production and 81% of its consumption. In 2022, the worldwide ethanol market boasted a valuation of $99.06 billion, with a projected compound annual growth rate (CAGR) of 5.1% anticipated to propel it beyond $162.12 billion by the year 2032.
This alliance, which originates from an Indian concept, is strategically positioned as a worldwide platform with a focus on the Organization of the Petroleum Exporting Countries (OPEC)-plus coalition, where Saudi Arabia and Russia maintain membership. It seeks the facilitation of demand amplification, technology exchange for biofuel production, and the augmentation of international trade. The International Energy Agency (IEA) has projected that in order to align the world's energy systems with the goal of achieving net-zero emissions by 2050, there is a requirement for a threefold increase in global biofuel production by the year 2030.
In its ambitious pursuit of an energy transition, India has set a resolute goal to attain carbon neutrality by the year 2070.In 2018, India unveiled the National Biofuels Policy, a comprehensive framework comprising blending objectives, production incentives, tax concessions, and import regulations governing ethanol for fuel blending. This policy laid a solid groundwork for nurturing the expansion of the biofuel sector within the country.
Additionally, India has laid out an ambitious roadmap for the development of biofuels. Demonstrating its commitment to this endeavour, the government has expedited its previous timeline, now aiming to achieve a 20% ethanol blending rate in petrol by 2025-26, a significant leap from the earlier target of 2030. Furthermore, India has already surpassed its initial goal of supplying petrol with 10% ethanol blending, accomplishing this milestone in June of the preceding year, ahead of the original schedule set for November 2022.
This achievement resulted in a noteworthy decrease of 2.7 million tonnes in CO2 emissions and yielded savings of around Rs 41,500 crore in foreign exchange. The present objective for the fiscal year 2022-23 is to attain a blending rate of 12 percent. Nevertheless, in order to realize the ambitious 20 percent blending target by the year 2025, it will be imperative to significantly augment ethanol production capacity to a substantial 17 billion litres.
India has taken proactive measures to champion compressed bio-gas (CBG) as an eco-friendly fuel source derived from waste. The Sustainable Alternative Towards Affordable Transportation (SATAT) initiative has played a pivotal role in facilitating the establishment of 46 CBG production facilities, with approximately 16,164 tonnes of CBG sold by March 2023.
Taking inspiration from Brazil, India plans to launch Flex Fuel Vehicles designed to operate on a diverse spectrum of fuel mixtures, spanning from pure ethanol to E85, a blend composed of 85 percent ethanol and 15 percent petrol. This initiative holds the promise of substantially curbing emissions and playing a pivotal role in mitigating India's expenditure on crude oil imports.
India has achieved an extraordinary feat by successfully conducting its inaugural commercial passenger flight powered by a domestically-produced blend of sustainable aviation fuel (SAF), with the primary objective of mitigating carbon emissions within the aviation sector. This significant milestone was realized during a flight from Pune to Delhi on May 19, 2023. In a strategic move to bolster this endeavour, the Union Ministry of Petroleum and Natural Gas has instituted the Bio-Aviation Turbine Fuel Programme Committee, aimed at advancing the programme's implementation throughout the country.
Setting its sights on incorporating a 1 percent SAF blend into jet fuel by the year 2025, India anticipates a substantial annual requirement of approximately 140 million litres of SAF, as per Puri's estimations. Furthermore, should India pursue a more ambitious target of a 5 percent SAF blend, the nation would need an estimated annual production of around 700 million litres of SAF. This initiative draws inspiration from the framework of the International Solar Alliance (ISA), a collaborative effort initially launched by India and France in 2015, with the shared objective of combatting climate change through the widespread adoption of solar energy solutions.
"The potential ramifications of such collaborations are profound," remarked Monish Ahuja, Chairperson of the Confederation of Biomass Energy Industry of India told Down To Earth. He emphasized that this initiative could play a pivotal role in helping India achieve greater energy self-sufficiency and diminish its dependence on foreign oil, primarily by fostering increased utilization of biofuels. The detailed roadmap, ambitious targets, innovative undertakings, and, most significantly, the tangible impact that the GBA holds the potential to usher in for the global biofuel industry make it a compelling subject of observation.
Meanwhile, The UAE has made history by becoming the first nation in the Middle East and the Gulf region to join the GBA. In a statement made, Suhail bin Mohammed Al Mazrouei, Minister of Energy and Infrastructure of UAE, underscored his country’s enthusiastic participation in this alliance, emphasizing the country's substantial investments in biofuel initiatives. This commitment aligns with the UAE's broader mission to diversify its energy sources and curtail its carbon footprint.
The GBA will also serve as a central repository of knowledge and an expert hub, playing a pivotal role in catalysing global collaboration to advance and widely embrace biofuel technologies. Positioned on par with the International Solar Alliance, the primary objectives of the Biofuel Alliance encompass expediting the widespread adoption of biofuels, innovating new biofuel technologies, establishing universally acknowledged standards, pinpointing global exemplary practices, and fostering active engagement from the industry.
Remarkably, this "watershed moment" arrives during a month adorned with the significance of three pivotal environmental occasions. The 7th of September heralds the observance of the International Day of Clean Air for Blue Skies, a day dedicated to the pursuit of pristine skies and air quality, followed by the International Day for the Preservation of the Ozone Layer on the 16th of September, we commemorate the International Day for the Preservation of the Ozone Layer, emphasising our commitment to safeguarding this vital shield against harmful radiation.
As the month draws to a close, we culminate in the celebration of World Environment Health Day on September 26, a day that underscores the profound interplay between our environment and well-being. This confluence of environmental milestones serves as a poignant reminder of our collective responsibility to nurture and protect the natural world upon which our existence and the delicate balance of our planet depend.
Biofuels encompass any fuel derived from agricultural produce or organic waste. Throughout history, humans have harnessed the power of biofuels, exemplified by the burning of materials such as wood and manure for essential purposes like cooking, heating, and illumination. In recent decades, biofuels have gained widespread recognition due to their potential to offer cleaner energy alternatives. These biofuels are categorised into different "generations" based on their origins. First-generation biofuels originate from food crops like corn and sugar cane, while second-generation biofuels are derived from non-edible vegetation and agricultural waste. Third-generation biofuels are sourced from algae.
Well-known biofuels such as ethanol, biodiesel, and biogas can be produced from any of these sources and are classified according to their origin. For instance, ethanol created from corn grown on farms falls under the category of first-generation ethanol. Biofuels are used in various modes of transportation, spanning from passenger vehicles to trucking, shipping, and aviation. These fuels offer a distinct advantage over conventional fossil fuels, as they generate minimal to no emissions when used in engines. In contrast, the gasoline and diesel they are typically mixed with do not share this environmentally friendly characteristic.
There is an optimistic outlook that biofuels could eventually replace fossil fuels entirely in the fields of aviation and specific types of marine vessels. This transition holds the promise of reducing the carbon footprint associated with these modes of transport. This prospect becomes even more compelling if biofuels can be derived from organic waste and non-edible crops cultivated on wastelands. Such a sourcing approach would significantly enhance the overall environmental cleanliness of biofuels.
19 countries and 12 international organizations have so far agreed to join the alliance, of which India, Brazil, and the United States are the founding members. These three collectively account for approximately 85% of worldwide ethanol production and 81% of its consumption. In 2022, the worldwide ethanol market boasted a valuation of $99.06 billion, with a projected compound annual growth rate (CAGR) of 5.1% anticipated to propel it beyond $162.12 billion by the year 2032.
This alliance, which originates from an Indian concept, is strategically positioned as a worldwide platform with a focus on the Organization of the Petroleum Exporting Countries (OPEC)-plus coalition, where Saudi Arabia and Russia maintain membership. It seeks the facilitation of demand amplification, technology exchange for biofuel production, and the augmentation of international trade. The International Energy Agency (IEA) has projected that in order to align the world's energy systems with the goal of achieving net-zero emissions by 2050, there is a requirement for a threefold increase in global biofuel production by the year 2030.
In its ambitious pursuit of an energy transition, India has set a resolute goal to attain carbon neutrality by the year 2070.In 2018, India unveiled the National Biofuels Policy, a comprehensive framework comprising blending objectives, production incentives, tax concessions, and import regulations governing ethanol for fuel blending. This policy laid a solid groundwork for nurturing the expansion of the biofuel sector within the country.
Additionally, India has laid out an ambitious roadmap for the development of biofuels. Demonstrating its commitment to this endeavour, the government has expedited its previous timeline, now aiming to achieve a 20% ethanol blending rate in petrol by 2025-26, a significant leap from the earlier target of 2030. Furthermore, India has already surpassed its initial goal of supplying petrol with 10% ethanol blending, accomplishing this milestone in June of the preceding year, ahead of the original schedule set for November 2022.
This achievement resulted in a noteworthy decrease of 2.7 million tonnes in CO2 emissions and yielded savings of around Rs 41,500 crore in foreign exchange. The present objective for the fiscal year 2022-23 is to attain a blending rate of 12 percent. Nevertheless, in order to realize the ambitious 20 percent blending target by the year 2025, it will be imperative to significantly augment ethanol production capacity to a substantial 17 billion litres.
India has taken proactive measures to champion compressed bio-gas (CBG) as an eco-friendly fuel source derived from waste. The Sustainable Alternative Towards Affordable Transportation (SATAT) initiative has played a pivotal role in facilitating the establishment of 46 CBG production facilities, with approximately 16,164 tonnes of CBG sold by March 2023.
Taking inspiration from Brazil, India plans to launch Flex Fuel Vehicles designed to operate on a diverse spectrum of fuel mixtures, spanning from pure ethanol to E85, a blend composed of 85 percent ethanol and 15 percent petrol. This initiative holds the promise of substantially curbing emissions and playing a pivotal role in mitigating India's expenditure on crude oil imports.
India has achieved an extraordinary feat by successfully conducting its inaugural commercial passenger flight powered by a domestically-produced blend of sustainable aviation fuel (SAF), with the primary objective of mitigating carbon emissions within the aviation sector. This significant milestone was realized during a flight from Pune to Delhi on May 19, 2023. In a strategic move to bolster this endeavour, the Union Ministry of Petroleum and Natural Gas has instituted the Bio-Aviation Turbine Fuel Programme Committee, aimed at advancing the programme's implementation throughout the country.
Setting its sights on incorporating a 1 percent SAF blend into jet fuel by the year 2025, India anticipates a substantial annual requirement of approximately 140 million litres of SAF, as per Puri's estimations. Furthermore, should India pursue a more ambitious target of a 5 percent SAF blend, the nation would need an estimated annual production of around 700 million litres of SAF. This initiative draws inspiration from the framework of the International Solar Alliance (ISA), a collaborative effort initially launched by India and France in 2015, with the shared objective of combatting climate change through the widespread adoption of solar energy solutions.
"The potential ramifications of such collaborations are profound," remarked Monish Ahuja, Chairperson of the Confederation of Biomass Energy Industry of India told Down To Earth. He emphasized that this initiative could play a pivotal role in helping India achieve greater energy self-sufficiency and diminish its dependence on foreign oil, primarily by fostering increased utilization of biofuels. The detailed roadmap, ambitious targets, innovative undertakings, and, most significantly, the tangible impact that the GBA holds the potential to usher in for the global biofuel industry make it a compelling subject of observation.
Meanwhile, The UAE has made history by becoming the first nation in the Middle East and the Gulf region to join the GBA. In a statement made, Suhail bin Mohammed Al Mazrouei, Minister of Energy and Infrastructure of UAE, underscored his country’s enthusiastic participation in this alliance, emphasizing the country's substantial investments in biofuel initiatives. This commitment aligns with the UAE's broader mission to diversify its energy sources and curtail its carbon footprint.
Earlier, in April, Brazil and the UAE inked a series of agreements aimed at combatting climate change and advancing biofuel production. Among these agreements was a significant investment of $2.5 billion in a biodiesel project at the UAE-controlled Mataripe refinery in northeastern Brazil. Furthermore, last November, the United States and the UAE entered into a groundbreaking $100 billion investment agreement focused on clean energy. Their joint objective is to develop a staggering 100 gigawatts of clean energy infrastructure worldwide by the year 2035, a momentous initiative reported by S&P Global at that time.
In conclusion, the Global Biofuel Alliance emerges as a multifaceted catalyst for the global development and deployment of sustainable biofuels. Through capacity-building initiatives, technical support, and policy harmonisation, the GBA paves the way for a virtual marketplace, bridging the gap between industry, nations, stakeholders, and technology providers. It champions the adoption of internationally recognized standards, sustainability principles, and regulations, fostering a climate conducive to biofuel adoption and trade.
Moreover, this initiative offers manifold benefits to India, bolstering its global standing and facilitating technology and equipment exports. The GBA embodies a collaborative spirit, providing avenues for collaboration and export opportunities to Indian industries. With unwavering optimism, industry leaders anticipate the GBA's potential to unlock bioenergy access in emerging economies, ushering in new business prospects in the bio-energy sector.
This endeavour aligns harmoniously with the goals of low-carbon energy and reduced import dependency, ensuring a sustainable future while addressing critical priorities such as identifying high-potential markets, expediting technology deployment, and fostering consensus on sustainability frameworks. Ultimately, the GBA represents a remarkable partnership, poised to bolster rural economies, combat environmental challenges, curtail greenhouse gas emissions, enhance air quality, elevate farmer livelihoods, and fortify energy independence through sustainable practices and international collaboration.
>> Source: Times of Oman
In conclusion, the Global Biofuel Alliance emerges as a multifaceted catalyst for the global development and deployment of sustainable biofuels. Through capacity-building initiatives, technical support, and policy harmonisation, the GBA paves the way for a virtual marketplace, bridging the gap between industry, nations, stakeholders, and technology providers. It champions the adoption of internationally recognized standards, sustainability principles, and regulations, fostering a climate conducive to biofuel adoption and trade.
Moreover, this initiative offers manifold benefits to India, bolstering its global standing and facilitating technology and equipment exports. The GBA embodies a collaborative spirit, providing avenues for collaboration and export opportunities to Indian industries. With unwavering optimism, industry leaders anticipate the GBA's potential to unlock bioenergy access in emerging economies, ushering in new business prospects in the bio-energy sector.
This endeavour aligns harmoniously with the goals of low-carbon energy and reduced import dependency, ensuring a sustainable future while addressing critical priorities such as identifying high-potential markets, expediting technology deployment, and fostering consensus on sustainability frameworks. Ultimately, the GBA represents a remarkable partnership, poised to bolster rural economies, combat environmental challenges, curtail greenhouse gas emissions, enhance air quality, elevate farmer livelihoods, and fortify energy independence through sustainable practices and international collaboration.
>> Source: Times of Oman
