India’s Biofuel Scenario

Posted on July 27, 2011 by


Bio fuel production around the world rose by 13.8% from the previous year in 2010 with bio-ethanol holding 72% of the total share. According to BP’s Statistical Review of World Energy, production is concentrated around a few countries, with Brazil and the US producing 40.924 million tonnes of oil equivalent amounting to 69.2% of the total global production. North America and South & Central America produced 95% of the world’s ethanol in 2010 while biodiesel production is concentrated in Europe and Eurasia with 59 % of the global biodiesel produced there.

In 2010, India registered the highest change in bio-fuel production from the previous year. With the addition of 0.151 million tonnes of oil equivalent, India registered an 85% increase in production over its 2009 production. India holds only 0.3% share of the global of production in 2010. However, this is likely to increase as India prepares for a change in its bio-fuel mandate from its current E5 (5% ethanol content in the fuel supply) to E10 (10% ethanol content in the fuel supply) and ultimately E20 by 2017.

Present estimates indicate India’s bio-fuel demand at 0.5 billion gallons in 2012 which will grow to 6.8 billion gallons by 2022. According to India’s Planning Commission, the demand for diesel in India is five times higher than petrol. But while the ethanol industry is mature, the biodiesel industry is in its infancy. India’s ambitious National Biodiesel Mission will aid in the technological research, production and trade of biodiesel in order to meet 20% of the country’s diesel requirements by 2012 and drive production levels upwards for the subsequent years.

                          Source: BP Review of World Energy

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