India has many years of experience using renewable energy sources to fulfill the energy needs of its population. This includes exploitation of both traditional sources (such as biomass)and nontraditional sources (such as wind power). India has been the region's research hub on the use of biomass for electricity generation as well as development of biofuels, mainly to replace fossil fuels used in the transport sector. Up to now, the production of biofuels in India has concentrated on ethanol and the use of non-edible sources such as Jatropha. It is expected that the focus will remain on non-edible sources in the foreseeable future. Thesebiofuel interventions are well placed within India's Integrated Energy Policy of 20064 and the National Action Plan of Climate Change of 2008. India has an estimated 64 million hectares (ha) of wasteland, out of which about 17 million ha are likely to be suitable for biofuel crops.
|Project Name||Study on Cross-Sectoral Implications of Biofuel Production and Use|
|Project Type / Modality of Assistance||Technical Assistance
|Source of Funding / Amount||
|Strategic Agendas||Environmentally sustainable growth
Inclusive economic growth
|Drivers of Change||Knowledge solutions
|Sector / Subsector||
Energy / Renewable energy generation - biomass and waste
|Gender Equity and Mainstreaming|
India has many years of experience using renewable energy sources to fulfill the energy needs of its population. This includes exploitation of both traditional sources (such as biomass)and nontraditional sources (such as wind power). India has been the region's research hub on the use of biomass for electricity generation as well as development of biofuels, mainly to replace fossil fuels used in the transport sector. Up to now, the production of biofuels in India has concentrated on ethanol and the use of non-edible sources such as Jatropha. It is expected that the focus will remain on non-edible sources in the foreseeable future. Thesebiofuel interventions are well placed within India's Integrated Energy Policy of 20064 and the National Action Plan of Climate Change of 2008. India has an estimated 64 million hectares (ha) of wasteland, out of which about 17 million ha are likely to be suitable for biofuel crops. Under the current biodiesel strategy, about 400,000 ha of marginal land are to be brought under biodiesel crop cultivation. It is expected that India will achieve a target of 20% blending of biodiesel by 2012. In 2005, India introduced a biodiesel purchase policy6 that allowed public sector oil marketing companies to
purchase biodiesel at 20 identified centers in different states.
|Project Rationale and Linkage to Country/Regional Strategy||
A variety of issues involving the production and use of biofuels need to be understood before interventions in this sector. These include issues involving usage of land, water, and
labor; replacement of food crop cultivation with biofuel crop cultivation; and adverse environmental and social impacts. These issues require careful attention and need to be
addressed in an integrated manner. Taking them in isolation could lead to conflicting conclusions and recommendations leading to suboptimal solutions in the context of overall
economic development. Therefore, a balanced view on biofuel production and use is required considering these interactions among different sectors. An in-depth study on the production and use of biofuels would allow the Government to have appropriate and balanced interventions in this sector. This would optimize the contribution of biofuels in replacing high carbon-emitting fuels.
|Impact||The impact will be improved energy security and low carbon energy sector development through appropriate bio-energy interventions. The indicators will be reduction in projected oil imports and greenhouse gas emissions.|
|Description of Outcome||The outcome of the TA will be well informed interventions in the bio-fuels sector with due consideration given to the cross-sectoral implications and multi faceted nature of the impacts of bio-fuel production and use in India. The indicator will be Government acceptance of a national policy and strategies on bio-fuel production and use accepted by the Government.|
|Progress Toward Outcome||ADB in coordination with the Department of Economic Affairs (DEA), conducted various workshops to update knowledge on bioufuels and understand recent developments in bioufuels. It is likely that the recommendations of the TA will be followed by the Government of India and that would result in avoiding some economic waste in ethanol sector. Further, development of biodiesel sector as suggested in the study would result in inclusive growth, rural development, reducing the import bill of diesel and significant reduction in Carbon emissions in India in the future. However, there were no adequate representation from the line ministries during the workshops and no firm decision was made about the implementation of the recommendation of the study.|
|Description of Project Outputs||
1. Report encompassing (i) review of the work on bio-fuels already carried out for South Asia, compilation of international experience in production and use of bio-fuels; (ii) critical analysis of bio-fuels environment in India in relation to international experience, considering cross sector implications; (iii) conclusions of the analysis in relation to India and suggestions for possible interventions in the sector.
2. Outreach program targeting all stakeholders in the bio-fuels sector.
|Status of Implementation Progress (Outputs, Activities, and Issues)||
ADB completed the study and the Final Report - Study on Cross Sectoral Implications of Biofuel Production and Use was prepared and delivered to DEA. The Final Workshop held in Delhi on 15 July 2011 was attended by over 40 policymakers and representatives from the academe and private sector.
ADB's publication, Food Security, Energy Security, and Inclusive Growth in India was also launched during this event. Three other ADB publications were produced under the TA.
|Summary of Environmental and Social Aspects|
|Stakeholder Communication, Participation, and Consultation|
|During Project Design|
|During Project Implementation|
Five international and 3 national consultants were engaged under the TA. In addition the DEA appointed a steering committee comprising representatives from 10 line ministries to provide inputs at various stage of the study.
ADB also appointed 4 members of the Oversight Commitee comprising eminent persons to ensure that the the quality of the outputs.
|Procurement||Not required under the TA.|
|Responsible ADB Officer||Gunatilake, Herath|
|Responsible ADB Department||South Asia Department|
|Responsible ADB Division||Energy Division, SARD|
Department of Economic Affairs
Ms. Anuradha Thakur
Ministry of Finance
Room No. 40-B North Block
New Delhi-110001, India
|Concept Clearance||18 Nov 2008|
|Fact Finding||14 Jul 2008 to 18 Jul 2008|
|Approval||13 Mar 2009|
|Last Review Mission||-|
|PDS Creation Date||14 Aug 2009|
|Last PDS Update||30 Mar 2012|
|Approval||Signing Date||Effectivity Date||Closing|
|13 Mar 2009||09 Apr 2009||09 Apr 2009||31 Dec 2009||31 Jul 2011||-|
|Financing Plan/TA Utilization||Cumulative Disbursements|
|500,000.00||0.00||125,000.00||0.00||0.00||0.00||625,000.00||13 Mar 2009||401,515.54|
Project Data Sheets (PDS) contain summary information on the project or program. Because the PDS is a work in progress, some information may not be included in its initial version but will be added as it becomes available. Information about proposed projects is tentative and indicative.
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|Title||Document Type||Document Date|
|Study on Cross-Sectoral Implications of Biofuel Production and Use||TA Completion Reports||Jul 2012|
|Study on Cross-Sectoral Implications of Biofuel Production and Use||Consultants' Reports||Jan 2011|
|Study on Cross-Sectoral Implications of Biofuel Production and Use||Technical Assistance Reports||Mar 2009|
Safeguard Documents See also: Safeguards
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None currently available.
Evaluation Documents See also: Independent Evaluation
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