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India's Growing Bet on Biofuels: National Policy and Production Milestones Highlighted on World Biofuel Day

زيت النخيل أصبح وقودا لسيارات السباقات
August 10, 2026

World Biofuel Day, observed annually on August 10, serves to raise awareness about biofuels and their significant potential as a sustainable alternative to fossil fuels. The day also draws attention to the collective efforts by industries, governments, and scientists to advance cleaner energy sources and reduce dependence on fossil fuels and non-renewable resources.

This commemorative day is intrinsically linked to Sir Rudolf Diesel, the inventor of the diesel engine, and recalls his pioneering experiments with vegetable oil as a fuel. On August 10, 1893, Diesel reportedly demonstrated that vegetable oil could successfully power an engine, an event considered a pivotal milestone in the development of alternative fuel sources.

Environmental benefits of biofuels constitute another major focus of the day. Depending on their production and usage methods, biofuels can substantially contribute to reducing greenhouse gas emissions and support global efforts to combat climate change. They can also help mitigate air and water pollution when integrated into cleaner energy systems. However, the sustainability of biofuels is contingent upon various factors, including the source of raw materials, land use practices, production methodologies, and overall environmental impact.

India's Ministry of Petroleum and Natural Gas has actively observed World Biofuel Day since 2015. The event provides a platform to underscore the importance of biofuels and promote government initiatives aimed at boosting their production and broader utilization.

India is steadily expanding its biofuel program, primarily through ethanol blending in petrol. According to 'DD News' reports, during the Ethanol Supply Year 2021-22 (December 1 to November 30), a remarkable 433.6 crore litres of ethanol were procured by Public Sector Oil Marketing Companies from domestic producers and blended with petrol, marking a significant advancement towards cleaner energy. Furthermore, ethanol supply surged from 38 crore litres in 2013-14 to 322 crore litres in 2020-21. Additionally, over the financial year 2022-23, 5.83 crore litres of biodiesel were procured for blending with diesel, further bolstering India's commitment to reducing carbon emissions.

India's National Policy on Biofuels has also set ambitious targets to increase biofuel usage. Amendments to this policy have focused on broadening the range of feedstocks permissible for biofuel production and accelerating ethanol blending targets. This policy has also stimulated biofuel production under the 'Make in India' program, including by encouraging units operating within Export Oriented Units (EOU) and Special Economic Zones (SEZ).

Source: The Hans India