Sandeep Chaturvedi, President, Biodiesel Association of India 11th -13th March 2019 New Delhi
Supply Chain of UCO for Biodiesel
Biodiesel Feedstock
The National Policy on Biofuels - 2018 encourages setting up of supply chain
mechanisms for biodiesel production from:
• Non-edible Oilseeds
• Used Cooking Oil(UCO)
• Short Gestation Crops
UCO Advantage:
•22.5 MMT
•9Mn Tons (40%) used in Restaurants, Processed Food Industry
Edible Oil Consumption
• 2.7 MMT(30% of used in Restaurants, Processed Food Industry) discarded
UCO Collection Potential
• 3.1 Mn Kilolitres of biodiesel
•₹10,800 crores
Biodiesel
Used Cooking Oil
• Oil quality deteriorates during frying.
• Total Polar Compounds(TPC) increase on repeated frying.
• TPC toxicity associated with diseases such as hypertension,
atherosclerosis, Alzheimer's disease, liver diseases, high levels of bad
cholesterol.
Past Disposal Practices :
– Burnt in the Furnace/Boiler/Disposed in drains /sewerage systems.
– Organized FBOs sell UCO to Traders/ street vendors for frying foods.
Desired Disposal Practices :
– Register with RUCO
– Discharge to Authorized RUCO Collectors/Aggregators
FSSAI Interventions: Triple E Strategy
• SBY- 10 lakh participants-21000Km-100 days-2.5 crores people reached
• Training-FBO’s/Municipal Corp Education
• Notification for max 25% TPC
• Directions issued under 16(5) of Act
• Guidance note on discharge/collection
Enforcement
• 26 Plants registered to collect and convert UCO to biodiesel
• 15 Aggregators operation- 200 developing infrastructure
Ecosystem
Achievements & Benefits
• 1685 FBO registered
• UCO collection about 800,000Kgs
• 15 collection centres operational 185 in various stages
Expected Benefits:
• Health Benefits & Cleaner Environment
• Economic Growth & Employment Generation
• Save Forex of about 12000Cr
• 200,000 jobs across 10,500 locations in 723 districts - 29 state and 7
UT’s
Ecosystem-Largest Global Network
• UCO based Biodiesel has premium in the Export market ❌ National
Policy Bans Export of Biofuels.
• The OMC’s expect low price for Biodiesel ❌ FBO’s expect higher
compensation for UCO
• Installed Capacity 1.413 Mn Tons but only 50% can handle UCO
• The state government changing GST + VAT on Blended fuels leading
to double taxation
• Clear price policy backed with national mandate
• 5% GST on Biodiesel at par with similar Biofuels
• Technology support within the policy framework