Alliance will offer capacity-building exercises across the value chain
Global energy sector has witnessed a historic moment on 9 Sept with announcement of the by Prime Minister Shri Narendra Modi on the sidelines of the G20 Summit.
Prime Minister Narendra Modi has launched Global Biofuels Alliance (GBA) which will support worldwide development and deployment of sustainable biofuels by offering capacity-building exercises across the value chain, technical support for national programs and promoting policy lessons-sharing.
Launched on the sidelines of the G20 Summit on 9 Sept 2023, GBA will facilitate mobilizing a virtual marketplace to assist industries, countries, ecosystem players and key stakeholders in mapping demand and supply, as well as connecting technology providers to end users.
The India-led initiative will also facilitate development, adoption and implementation of internationally recognized standards, codes, sustainability principles and regulations to incentivize biofuels adoption and trade.
GBA is to develop an alliance of Governments, International organizations and Industry to facilitate adoption of biofuels. Bringing together the biggest consumers and producers of biofuels to drive biofuels development and deployment, the initiative aims to position biofuels as a key to energy transition and contribute to jobs and economic growth.
Announcement of the GBA showcases the action-oriented nature of India’s positive agenda as G20 President and representing the “Voice of the Global South”.
GBA will support worldwide development and deployment of sustainable biofuels by offering capacity-building exercises across the value chain, technical support for national programs and promoting policy lessons-sharing.
It will facilitate mobilizing a virtual marketplace to assist industries, countries, ecosystem players and key stakeholders in mapping demand and supply, as well as connecting technology providers to end users. It will also facilitate development, adoption and implementation of internationally recognized standards, codes, sustainability principles and regulations to incentivize biofuels adoption and trade.
The initiative will be beneficial for India at multiple fronts. GBA as a tangible outcome of the G20 presidency, will help strengthen India’s position globally. Moreover, the alliance will focus on collaboration and will provide additional opportunities to Indian industries in the form of exporting technology and exporting equipment.
It will help accelerate India’s existing biofuels programs such as PM-JIVANYojna, SATAT, and GOBARdhan scheme, thereby contributing to increased farmers’ income, creating jobs and overall development of the Indian ecosystem. The global ethanol market was valued at US$99.06 billion in 2022 and is predicted to grow at a CAGR of 5.1% by 2032 and surpass US$162.12 billion by 2032.
As per IEA, there will be 3.5-5x biofuels growth potential by 2050 due to Net Zero targets, creating a huge opportunity for India.
Nineteen countries and 12 international organisations have already agreed to join.
Seven G20 countries supporting GBA are: Argentina, Brazil, Canada, India, Italy, South Africa and the US.
Four invited G20 Invitee Countries supporting GBA are: Bangladesh, Singapore, Mauritius and the UAE.
Eight non G20 countries supporting GBA are: Iceland, Kenya, Guyana, Paraguay, Seychelles, Sri Lanka and Uganda, these nations have agreed to be initiating members of GBA. Finland is the eighth countries in this group.
Twelve international organizations in GBA are: World Bank, Asian Development Bank, World Economic Forum, World LPG Organization, UN Energy for All, UNIDO, Biofutures Platform, International Civil Aviation Organization, International Energy Agency, International Energy Forum, International Renewable Energy Agency, World Biogas Association.
GBA Members constitute major producers and consumers of biofuels. USA (52%), Brazil (30%) and India (3%), contribute about 85% share in production and about 81% in consumption of ethanol, said the Ministry of Petroleum and Natural Gas. Fiinews.com
