Gadkari highlights use of biofuels to cut logistics costs

On 17 October 2024, Union Minister of Road Transport & Highways, Nitin Gadkari, stressed the role of alternative fuels in reducing logistics costs and enhancing supply chain efficiency. Reducing logistics costs, he noted, is crucial for strengthening India’s economic competitiveness, particularly amidst global geopolitical uncertainties. He highlighted the burden of fossil fuel imports—valued at approximately ₹22 lakh crore annually—and underscored the importance of adopting biofuels such as methanol, ethanol, and bio-CNG to lower operational expenses.

Gadkari was speaking at the International Methanol Seminar and Expo, organised by NITI Aayog in New Delhi. The event showcased methanol-based innovations and technologies, with prominent attendees including NITI Aayog Vice Chairman Suman Bery, Member V K Saraswat, and Principal Scientific Advisor Ajay Kumar Sood. Gadkari toured the expo, exploring displays of sustainable products and machinery aimed at promoting biofuel adoption across sectors.

He highlighted two main issues in his speech: the country's reliance on imported fossil fuels and the rise in environmental contamination. In order to improve farmers' livelihoods, assist the agricultural economy, and promote energy independence, he underlined the strategic significance of boosting biofuels, including methanol, ethanol, and bio-CNG. The Minister pointed out that NITI Aayog has made progress in promoting methanol technology development in India.

Methanol derived from homegrown resources such as low-rank coal benefits the ecosystem and economy, he added. Nitin Gadkari also stressed the importance of sustainable infrastructure by promoting the incorporation of recyclable materials such as plastic and tire powder in road construction, which reduced the necessity of imported bitumen.

The Minister also promoted waste-to-energy alternatives, especially the use of agricultural residue to produce bio-CNG. He mentioned that there are presently 475 bio-CNG operations in operation, 40 of which convert rice straw at a 5:1 tonnage ratio in Punjab, Haryana, Uttar Pradesh, and Karnataka. Gadkari demanded further investigation on biomass-based fuels and effective ways to transport them.

In order to reduce seasonal pollution in northern India, he also emphasised the necessity of addressing stubble burning by turning agricultural waste into alternative fuels. Previously, he reviewed the automobile industry’s readiness for ethanol and flex fuels in a meeting with SIAM representatives. He emphasised the benefits of biofuels, including reduced imports, lower pollution, and cheaper fuel. Gadkari urged industry leaders to promote public adoption, citing Brazil’s success with flex-fuel vehicles as a model.