‘Delivering a global biofuel industry is a big challenge’

by Dave

Business Standard

What are the major challenges that the global and Indian biofuel industries face?

The major challenges are to deliver a global industry which is both sustainable and economic; how to be able to introduce new technologies which have the potential to transform the industry; and to work with the agriculture sector to make sure that we bring the interests of energy and nutrition together.

What are the problems that confront the existing market regulatory mechanisms and how can that be set right?

In developmental economics, we are often told that one of the major challenges in the biofuels industry is the failure of market mechanism which has stopped people from investing and producing food as efficiently as possible.

My only point is that rather than making a simplistic assumption that the introduction of biofuels has caused the food versus fuel controversies, biofuels have the potential to be part of some solution to these problems.