Biofuel Policy

[pib] First supply of UCO-based Biodiesel flagged off


From UPSC perspective, the following things are important :

Prelims level: Generations of biofuels

Mains level: Paper 3- Used Cooking Oil based biofuel

Eco-system for collection and conversion of UCO into Biodiesel

  • Minister of Petroleum & Natural Gas flagged off the first supply of UCO (Used Cooking Oil) based Biodiesel blended Diesel under the EOI Scheme.
  • To create an eco-system for collection and conversion of UCO, Expressions of Interest had been initiated for “Procurement of Bio-diesel produced from Used Cooking Oil” on the occasion of World Biofuel Day on 10th August 2019.
  • Under this initiative, Oil Marketing Companies (OMC) offer periodically incremental price guarantees for five years and extend off-take guarantees for ten years to prospective entrepreneurs.


  • This is a landmark in India’s pursuance of Biofuels and will have a positive impact on the environment.
  • This initiative will garner substantial economic benefits for the nation by shoring up indigenous Biodiesel supply, reducing import dependence, and generating rural employment.

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