Mains Paper 2: Governance | Government policies and interventions for development in various sectors and issues arising out of their design and implementation.
From UPSC perspective, the following things are important:
Prelims level: Read the attached story
Mains level: Aim and particulars of the National Policy on Biofuels.
Context: Union Ministry of Petroleum & Natural Gas has notified the National Policy on Biofuels-2018.
Aim: Ensuring adequate and sustained availability of domestic feedstock for biofuel production, increasing Farmers Income, Import Reduction, Employment Generation and Waste to Wealth Creation,
Provisions of the Policy
- The policy categorizes biofuels as “Basic Biofuels” such as bio ethanol & biodiesel and “Advanced Biofuels” such as Second Generation (2G) ethanol, bio-CNG, Third Generation Biofuels, etc. to enable extension of appropriate financial and fiscal incentives under each category.
- It also includes promotion of advanced biofuels through various incentives, off-take assurance and viability gap funding.
Damaged and Surplus foodgrains to be utilised
- With an objective of increasing production of ethanol, this Policy allows production of ethanol from damaged food grains like wheat, broken rice etc. which are unfit for human consumption.
- Additionally, during an agriculture crop year, when there is projected over supply of food grains as anticipated by the Ministry of Agriculture & Farmers Welfare, the policy allows conversion of surplus quantities of food grains to ethanol, based on the approval of National Biofuel Coordination Committee.
- Use of damaged food grains and surplus food grains for production of ethanol will increase its availability for Ethanol Blended Petrol (EBP) Programme.
- This will result in increasing the blending percentage, increasing farmer’s income, saving of foreign exchange and addressing environmental issues.