BIOFUELS – A STEP TOWARDS ATMANIRBHAR BHARAT

10 Aug 2020

Biofuels has been increasingly becoming indispensable for Sustainable Development of any Nation, offering a cleaner alternative energy to tackle carbon imbalance in environment while also meeting growing energy needs. Also with the ratification of Paris Agreement of Conference of Parties protocol on combating climate change, Biofuels with significant GHG emission reduction over fossil fuels, shall play a key role for achieving targets.

India is also committed to align its energy policies for meeting its goal of reducing GHG emission intensity by 33 to 35% relative to 2005 level by 2030. For a country like India with huge dependence on imported Crude Oil for meeting energy demands, Biofuels offer a sustainable solutions towards Atmanirbhar Bharat. National Biofuel Policy 2018 of India aims to tackle these twin challenges of emission & import reduction by encouraging increased use of Biofuels in the energy and transportation sector. The Policy has given indicative targets to achieve 20% Ethanol blending in petrol and 5% biodiesel blending in diesel by 2030. In order to achieve above targets, while thrust have been given on production of Ethanol from various sources besides sugarcane like starch containing materials (corn, cassava, rotten potatoes etc.) and damaged food grains, policy also shifts focus towards Advanced Biofuels. Advanced Biofuels are produced from agricultural & forestry residues, non-food crops (grasses, algae), industrial waste/residue streams and do not compete with food crops for land use. Some examples are Second Generation (2G) Ethanol, Biodiesel made from Used Cooking Oil (UCO), Compressed Bio-Gas (CBG) etc.

Some of the benefits of these Advanced Biofuel technologies:

1) The surplus biomass availability in the country is in the range of 120-160 MMT annually. Diversion of these waste agricultural residues for conversion to Biofuels (Second Generation Ethanol or CBG), helps reduce burning of these residues on field which leads to smog & health hazards Also sale of agricultural residues will supplement income of farmers.

2) Used Cooking Oils (UCO) have high polar compounds percentage which is not digestible and impacts consumer health, posing a greater risk of heart disease in the long term and gastrointestinal disorders in the short term. Diversion of UCO for conversion to biodiesel will not only help to dispose UCO but also help to combat non-availability of feedstock for Biodiesel, Palm Stearin Oil which is primarily imported.

3) Some of the waste from industries which have issues in disposal can be converted to Biofuel. For e.g. Spent Wash generated from distilleries have the potential to be converted to CBG.

4) By reducing dependence on imported crude oil, significant Forex savings for the Nation shall be achieved.

5) Biofuels shall also contribute towards infrastructure development and Employment generation in rural areas.

6) Lifecycle analysis (LCA) of Biofuels indicates significant GHG Emission reduction compared to conventional fossil fuels. Lifecycle analysis (LCA) of these technologies includes comparing GHG emissions related to their production & utilization with conventional fossil fuel production and the emissions related to reference land use.

Source: https://www.epa.gov/renewable-fuel-standard-program/overview-renewable-fuel-standard

BPCL's Journey

BPCL had always aligned itself with Government’s initiatives in Biofuels since 2003 when Ethanol Blending Programme (EBP) was first launched and subsequently Biodiesel Purchase Policy in 2006. Again in line with National Biofuels Policy 2018, impetus was given to Advanced Biofuels.

Hence, BPCL’s journey towards Advanced Biofuels started around 4 years back, with the plan of setting up a Second Generation (2G) Ethanol Bio-Refinery in Odisha. After commissioning, BPCL’s First 2G Ethanol Plant at Bargarh District in Odisha shall produce around 3 crore litres of Ethanol per annum using Agriculture waste surplus (Rice Straw) available in abundance in the vicinity. BPCL was first to receive Environment Clearance for the 2G Ethanol Biorefinery project from Ministry of Environment, Forest & Climate Change (MoEF&CC) and it was received on the occasion of World Biofuel Day in 2018 (10th August) from the Prime Minister Sh. Narendra Modi.

Grant of Environmental Clearance for Bargarh 2G Bio-Ethanol Refinery Project

Foundation stone laying ceremony for the project was held on 10th October 2018 by the hands of Odisha Governor Prof. Ganeshi Lall in presence of Minister of Petroleum & Natural Gas and Skill Development Sh. Dharmendra Pradhan and other dignitaries

Foundation Stone Laying Ceremony for Bargarh 2G Bio-Ethanol Refinery Project

The Basic Engineering for the project has been completed & construction activities are in full swing. BPCL along with Licensor (M/s Praj Industries Ltd.), PMC (M/s Toyo Engg. Ltd.) & LSTK Contractor (M/s Tata Projects Ltd.) is geared up for commissioning of the Bio-refinery in early 2022.

Bargarh 2G Bio-Ethanol Refinery Project – Construction Activities in Progress

BPCL is also considering setting up Compressed Biogas (CBG) plants using agricultural waste residues in Bina (Madhya Pradesh) and Bhandara (Maharashtra).

Besides this, BPCL is facilitating investors to set up CBG plants based on Biomass/ Municipal solid waste etc. under the SATAT (Sustainable Alternative Towards Affordable Transportation) scheme of GoI and Biodiesel Plants based on Used Cooking Oil (UCO). EOI (SATAT) for procurement of CBG was floated on 2nd October 2018 wherein commercial agreement of procurement of CBG for 10 years shall be done while EOI for procurement of Biodiesel made from Used Cooking Oil (UCO) was floated on 10th August 2019. Letter of Intent (LoIs) for setting up plants based on above EOIs has also been issued to various entrepreneurs.

While, there are many challenges that need to be addressed , many technologies in the field of Biofuels are in nascent stage, BPCL is energized to overcome these challenges to create a niche in ‘Green Fuels’ category after playing an exemplary role in Petroleum sector for more than 70 years.