Trash To Treasure: Here's Why India Is Seeking Collaboration With Germany In Biofuels Sector

Gaurav Kedia, Chairman of the Indian Biogas Association (IBA), revealed to Moneycontrol that India is actively seeking to accelerate collaborations with Germany to leverage advanced technologies in the biofuel sector.

The focus is on exploring German technologies for processing feedstock beyond sugar-based sources, such as paddy straw and municipal solid waste.

“Raw material is always a big question mark. India is looking at proven technologies from Germany that could help process raw materials such as paddy straw, Napier grass, and municipal solid waste,” said Kedia.

In December 2023, the Indian government banned ethanol production from sugarcane juice to ensure adequate sugar availability for domestic consumption and price stability.

However, this decision was later reversed.

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Kedia also highlighted India's pursuit of cost-effective solutions and technology adaptation in the biogas sector, emphasising collaboration with Germany to optimise costs and update technologies according to Indian requirements.

He noted that Union Minister of Petroleum and Natural Gas, Hardeep Singh Puri, held discussions with the CEO of the German Biogas Association in November 2023 to advance bilateral talks in the biogas sector.

India's focus on biofuels is crucial as it aims to reduce dependence on crude oil and natural gas imports.

To bolster the biofuels industry, the Indian government also plans to provide financial assistance for biomass collection machinery.

Additionally, it mandated the blending of compressed biogas in compressed natural gas (CNG) and piped natural gas (PNG) starting from FY26, with a gradual increase in blending obligations.

Furthermore, India launched the Global Biofuel Alliance under its G20 Presidency, aiming to facilitate biofuel adoption by offering capacity-building exercises, technical support, and policy sharing among participating countries and international organisations.

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