India signing headquarters deal with Global Biofuels Alliance, paves way for its diplomatic, int’l organisation status

New Delhi: The Global Biofuels Alliance (GBA), launched by key G20 members including India, the US and Brazil in September 2023, is all set to get its diplomatic status, with the Indian government likely to sign a headquarters agreement with the agency soon, said two people aware of the matter.

The headquarters agreement will pave the way for the government to grant exemptions, immunities and privileges to the alliance and its secretariat in the country, as contemplated under Section-3 of the United Nations (Privileges & Immunities) Act, 1947. 

The agreement will also provide GBA with an independent and international legal persona that would allow it to carry out its functions in a more efficient manner at the international level.

GBA's diplomatic status and recognition as an international organisation will be similar to the status bestowed upon the Coalition for Disaster Resilient Infrastructure (CDRI) and the International Solar Alliance (ISA).

“Headquarters agreement is signed with the host country. It will give the immunities and privileges to the organization as an international organization; that process is also ongoing. We plan to do it very soon. The ministry of external affairs would sign the agreement,” said one of the persons mentioned above.

Also read: Global Biofuels Alliance to prepare charter, finalize governance structure

The agreement would require the cabinet's approval for its implementation.

Queries sent to the ministries of petroleum and natural gas, and external affairs, remained unanswered till press time.

Allies, or not?

Launched on the sidelines of the G20 Leadership Summit held in New Delhi on 9 September 2023, GBA was initially conceptualized by India with a view to getting all the G20 members on board. 

The alliance's scope includes bringing together the biggest consumers and producers of biofuels, even if they're not members of the G20. The alliance aims to drive development and deployment of biofuels and reduce the reliance on crude oil, amid ambitious global net-zero carbon emission goals by 2030.

But despite its stated goals, large producers and consumers of crude, such as China, Russia and Saudi Arabia, have refrained from joining the alliance.

While the GBA is yet to finalize its charter, it has formed a working committee that has framed a work plan. In May, Business Standard reported that the work plan adopted by the GBA focussed on assessing country landscapes, drafting policy frameworks and conducting biofuel workshops. 

Also read: Biofuels alliance eyes more members

The plan was adopted at a meeting of the alliance at the sidelines of a G20 meeting in April, in Brazil.

The second person with knowledge of the developments, said that work has already started on assessing the landscapes of countries, starting with Mauritius, Tanzania and Sri Lanka.

According to the plan

“Brazil has come up with the tools to view and assess the biofuel potential of those regions where there has been no development so far on that front. Mauritius has good sugarcane cultivation, while Sri Lanka could source raw materials in the form of municipal waste and non-food crops. Based on these surveys, policy intervention would be suggested,” the person said, adding that the work on the charter is also underway.

GBA, launched at the behest of India along the lines of ISA and CDRI, aims to position the country as a frontrunner in the global fight against climate change. 

Further, over the next five years, India has the potential to nearly triple its production and consumption of biofuels by removing roadblocks to higher ethanol blends and diversifying its use to replace diesel and jet fuel, according to the International Energy Agency (IEA). 

However, the government will need to keep an eye on costs, feedstock sustainability and deploy supportive policies to other biofuels beyond ethanol, IEA noted in a note in February.

Also read: India’s long green strides: Sustainable hydrogen push to biofuels pact

In its report titled “Biofuel Policy in Brazil, India and the United States: Insights for the Global Biofuel Alliance”, released last year, the IEA recommended that the GBA should focus on developing new and existing markets, since over 80% of the production is concentrated in four regions—the US, Brazil, Europe and Indonesia—that account for only half of the global transport fuel demand. 

The agency also recommended accelerating technology deployment and commercialization, while seeking consensus on performance-based sustainability assessments.

In an interview to Mint in September 2023, after the launch of the GBA, minister for petroleum and natural gas, Hardeep Singh Puri had said that the alliance will work on the definition and specification of biofuels, and also increase international cooperation through a virtual marketplace.