The formation of the Global Biofuels Alliance (GBA), with founding members including the United States, Brazil, and India, represents a significant global effort to encourage the use of clean fuel. This alliance, centered around ethanol, has the potential to effectively combat climate change and mitigate its severe global consequences.
GS Paper- 3
- Growth & Development
- Environmental Pollution & Degradation
The formation of the Global Biofuels Alliance (GBA), with founding members including the United States, Brazil, and India, represents a significant global effort to encourage the use of clean fuel. Examine the above statement in the context of relevance of GBA for India. (15 marks, 250 words).
Significance of Global Biofuels Alliance:
- It holds promise for the agricultural sector, potentially bringing newfound prosperity to millions of farmers in India and other agriculture-intensive countries.
- By facilitating trade in biofuels derived from sources like plant and animal waste, the GBA aims to support global efforts to achieve net-zero emissions, representing a historic milestone in the energy sector.
India and the GBA:
Combating Climate Change:
India’s establishment of the GBA underscores its commitment to combat catastrophic climate change by uniting governments, international organizations, and industry players to promote the adoption of biofuels.
This new organization brings together major consumers and producers of biofuels, with the goal of advancing biofuel development and deployment. The initiative seeks to position biofuels as a pivotal component of the energy transition, contributing to job creation and economic growth.
Enhances India’s position as the voice of global south:
As India chairs the G20 and champions the “Voice of the Global South,” the GBA aligns with India’s proactive agenda. The alliance’s objectives include supporting the global development and deployment of sustainable biofuels, enhancing capacity-building across the value chain, providing technical assistance to national programs, and sharing policy lessons.
The GBA will establish a virtual marketplace connecting industries, countries, ecosystem players, and key stakeholders to map demand and supply, as well as link technology providers with end users. It will also play a role in developing, adopting, and implementing internationally recognized standards, codes, sustainability principles, and regulations to promote biofuel adoption and trade.
Cooperation among industries:
The GBA’s formation offers several advantages for India. It reinforces India’s global standing as a tangible outcome of its G20 Chairmanship. Additionally, the alliance fosters cooperation, opening avenues for Indian industries to export technology and equipment.
Supports India’s biofuel programme:
It further accelerates India’s existing biofuel programs, such as PM-Jeevan Yojana, Saatand, and Gobardhan Yojana, thereby increasing farmers’ income, generating employment, and promoting overall development.
GBA’s role in ethanol production:
- The global ethanol market is experiencing significant growth, with projections indicating that it will surpass $162.12 billion by 2032, driven by a CAGR of 5.1%.
- The net-zero target, as per the IEA, could lead to 3.5-5 times biofuel growth potential by 2050, creating substantial opportunities for India.
- Nineteen countries and twelve international organizations have already expressed their intent to join the GBA, with the support of seven G20 countries.
- These countries, along with institutions like the World Bank and Asian Development Bank, are key participants in this alliance.
- Notably, GBA members represent a significant share of biofuel production and consumption, with the United States, Brazil, and India alone accounting for about 85% of production and approximately 81% in ethanol production.
Biofuels are undeniably pivotal in shaping a cleaner, greener, and more prosperous future. They offer economic prosperity, energy security, affordability, and sustainability while contributing to decarbonization. Furthermore, ongoing technological advancements provide a range of biofuel feedstock options, including sugarcane, maize, agricultural waste, bamboo, and more. Collaboration among G20 nations is poised to further develop the global biofuels market, unlocking its full potential.