This policy paper by National Centre for Agricultural Economics and Policy Research sheds light on use of bio energy as an alternative to fossil fuels. The search for an alternative source of energy has been attributed to:

• Over reliance on fossil fuel energy by agriculture and service sector that has led to shrinking reserves and its consequent impact on price of fuels made out of non-renewable source
• Global climate change

The main objectives of the paper are:

1.  To review the present status of India’s bio fuel programme focusing on global, national and state scenarios bio fuel policies, institutional mechanisms and infrastructural settings.
2. To assess the technical and economic potential of the major feed stocks being considered and tried for the production of bio fuels in India.
3. To identify the major constraints that impedes the development of bio fuels in India and to suggest interventions and policy reforms to address them.
4. To assess the future needs and challenges of the bio fuel sector in India and suggest proactive measures for their addressal.

 The paper is divided into five chapters including the introduction. The current status of bio fuels both at global and national level is spelt out in chapter 2 following which the policy framework at national and state level is discussed in chapter 3. The potentials and challenges before the bio fuel sector are elaborated in chapter 4 and finally the conclusions and policy implications discussed in the last chapter.

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