Petrochemical
Petrochemicals
India to be green hydrogen hub by 2040: Hardeep Singh Puri
Date: 25th May, 2023
Source: Financial Express
India will become a major green hydrogen hub in all aspects – production, consumption and exports – by 2040, petroleum and natural gas minister Hardeep Singh Puri said at a CII event. “By 2040, India will be a major green hydrogen hub with demand, production, and consumption all in India, including major exporting of green ammonia and others. I am very bullish on these next 15 years,” the oil minister said. The government, in its Budget for FY24, announced Rs 19,700 crore under production linked incentive (PLI) scheme to promote green hydrogen. “The PLI amount is just a catalyst. There is no dearth of resources. Money is coming in green hydrogen. India will be in the forefront of advancements in green hydrogen and not a follower,” he said. Indian economy will grow beyond $20 trillion, and the per capita income will grow by 10 times from now in the next 15 years, he said. “In 15 years’, time, by 2040 India will be a $20 trillion economy… $22-$23 trillion economy, which means per capita income will be 10 times,” Puri said while speaking on India’s energy requirement and transition to green energy. Considering the energy requirement of a growing India, he said that while the exploration and production (E&P) activities will go up exponentially, increased affordability and spending power will make green transition even faster. Puri called on the industry people attending the two-day annual event of the Confederation of Indian Industry (CII) to make their investment decisions based on the forecast that 25% of the global demand in the next 20 years till 2045 will come from India. “This growth will take place, transition to green energy will take place and that is the real story which is unfolding,” he said, adding that while global increase in demand per capita is 1%, growth in India is thrice that much. The diplomat-turned-politician said that at the rate at which India became the fifth largest economy from being the 10th largest, it will go on to become a $4.3 trillion economy from current $3.8 trillion to be the third largest in the world.
While India has set 2070 as the deadline for its net zero commitment, several companies
like Indian Oil (IOCL) and Bharat Petroleum (BPCL) have set their individual target as 2046 and
2040, respectively, the minister said.
As part of energy transition, ethanol blending that used to happen at 1.4% in 2014 achieved 10%
target in November 2022, five months in advance. Also, the deadline for 20% blending target has
been preponed to 2025, ahead of the earlier target of 2030. Puri said the transition is happening
fast.
The government, in its Budget for FY24, announced Rs 19,700 crore under production linked
incentive (PLI) scheme to promote green hydrogen.
Gujarat govt inks MoU with Deepak Chem Tech for Petrochemical Manufacturing
Date: 24th May, 2023
Source: KNN
The Gujarat Government signed an agreement with Deepak Chem Tech as part of the state
government’s commitment to help India in achieving self-reliance in the petrochemical
intermediates sector.
Under the agreement, Deepak Chem Tech will establish three projects in Dahej for the production
of specialty chemicals, phenol/acetone, and bisphenol. These projects will require a total
investment of Rs 5,000 crore and are expected to generate employment opportunities for around
1,500 people.
The MoU was signed by the Gujarat Chief Minister Bhupendra Patel in the presence of Industries
Minister Balwantsinh Rajput and Minister of State for Industries Harsh Sanghavi in Gandhinagar.
Speaking on the occasion, Gujarat CM said that this collaboration is the state government’s
commitment towards the vision of Aatmanirbhar Bharat.
As per reports, the projects are likely to be operational by the financial year 2026–27.
Deepak Mehta, Chairman of Deepak Chem Tech’s parent company Deepak Nitrite Limited,
expressed appreciation for the state government’s support and encouragement to the industries,
particularly during the challenging times of the Covid pandemic. “The current market for
petrochemical intermediates stands at USD 80 billion, and it is projected to grow to USD 650
billion in the coming years. Gujarat has the potential to scale up and account for 50 per cent of
this market, amounting to USD 300 billion worth of petrochemical intermediates,” he said.
India’s Gujarat strives to boost green hydrogen output
Date: 24th May, 2023
Source: Argus Media
The west Indian state of Gujarat is looking to become a frontrunner in renewable hydrogen, launching a policy that defines conditions for leasing out land to hydrogen project developers. The state government will lease out wasteland to those looking to produce hydrogen from wind or solar sources, or from a combination of the two. Projects will have to produce at least 100,000 t/yr of hydrogen to be eligible for leasing the land under an agreement that will be valid for 40 years. To be eligible, firms need to have experience in setting up at least 50MW wind or solar power generation capacity or be an existing user of hydrogen from fossil fuel sources, with a requirement of at least 100,000 t/yr. The companies will have to pay an annual rent of 15,000 rupees ($181) a hectare with a 15pc increase every three years. They will have eight years to fully develop the plant to maximum capacity.
The policy is intended to help Gujarat realise its ambitious hydrogen production plans. The state
aims to become a "global hub of green hydrogen manufacturing capacity" with production of 8mn t/yr in the next 10-12 years, its cabinet minister of industries Balvantsinh Rajput said in
January.
India's central government has set a target of 5mn t/yr for 2030, while it aims to reach 10mn t/yr
later on with the growth of export markets. Delhi approved an initial outlay of Rs197.44bn in
pursuit of these goals in January.
Gujarat has already agreed preliminary deals for development of large-scale hydrogen
production sites, including with domestic conglomerates Reliance Industries (RIL) and Adani
and renewable project developer Ocior Energy.
RIL has said it will invest about Rs5.95 trillion in green hydrogen ecosystems and renewable
energy in the state over a span of 10-15 years. Its plans include the construction of electrolyser
manufacturing sites in Gujarat.
Ocior in January announced plans to build a 1mn t/yr renewable ammonia site in Kutch district,
with an aim to start operations in 2027 and reach maximum capacity by 2030. The company is
targeting export markets for offtake, its chief executive Ranjit Gupta told Argus at the time.
The first small-scale green hydrogen plant in Gujarat was commissioned in August last year by
the engineering firm Larsen & Toubro.
Gujarat's Deendayal port has been selected by India's ministry for ports, shipping and waterways
as one the country's three ports that are to be developed into hydrogen hubs by 2030
India cuts windfall tax on petroleum crude from Rs 4,100 per tonne to zero
Date: 16th May, 2023
Source: Business Standard
India has cut the windfall tax on petroleum crude to zero from Rs 4,100 ($50.13) per tonne. The
cut will be effective Tuesday onwards, a government notification stated.
Earlier in May, the windfall tax on domestic crude oil was slashed to Rs 4,100 per tonne from Rs
6,400 per tonne. Whereas the government left the windfall tax on petrol, diesel, and aviation
turbine fuel (ATF) unchanged at zero.
Previously, the government announced the reimposition of the windfall profit tax on
domestically produced oil from zero to Rs 6,400 per tonne. The government also scrapped the
export duty on diesel. Based on the average oil prices in the last two weeks, the tax rates are
reviewed every 15 days. The windfall profit tax is calculated by taking away any price that the
producers are being paid above a set limit.
India, in July 2022, joined a growing number of nations that tax the super-normal profits of energy
companies. It had imposed the windfall tax on crude oil producers and extended the levy on
exports of gasoline, diesel, and ATF after private refiners wanted to make gains from robust
refining margins in overseas markets.
Levying of the windfall profit tax was expected to compensate for the reduction in the excise duty
on diesel and petrol and to provide some relief to the consumers. However, the reduction in the
windfall tax from the initial levels is expected to reduce the realisation for the government.
The windfall tax levy on domestically produced crude oil targets producers like Vedanta Limited,
and Oil and Natural Gas Corporation (ONGC), according to an ET report.
Govt cuts windfall tax on petroleum crude
Date: 02nd May, 2023
Source: Mint
India has cut the windfall tax on petroleum crude to 4,100 rupees ($50.14) per tonne from 6,400 rupees per tonne, effective from Tuesday, according to a government notification.
The government left the windfall tax on petrol, diesel and aviation turbine fuel at zero.The government revises tax rates fortnightly based on oil price fluctuations.
On April 4, India cut the windfall tax on petroleum crude to zero from 3,500 rupees per tonne previously. The levy on crude was hiked to 6,400 rupees per tonne on April 19. India last July imposed the windfall tax on crude oil producers and extended the levy on exports of gasoline, diesel and aviation fuel after private refiners wanted to make gains from robust refining margins in overseas markets, instead of selling at home.
India’s supreme court recalls anti-dumping duty levy order on LDPE, two weeks after pronouncing it
Date: 27th April, 2023
Source: POLYMERUPDATE
The supreme court of India has recalled its own interim order, which was pronounced two weeks ago, allowing the government to levy anti-dumping duty (ADD) on low-density polyethylene (LDPE) and restrict its alleged dumping from overseas, largely from Saudi Arabia and Taiwan. The court has sought a re-listing of the case for further hearing. The two-judge bench, headed by Justice Sanjiv Khanna and assisted by Justice M M Sundresh, ordered, “For the time being, the operation of the direction given in the order dated April 13, 2023, that pending final disposal of the writ petition, as an interim measure, the respondents (the Government of India) shall impose a provisional ADD at the rate determined in the final finding, will remain in abeyance/suspended.” In its order dated April 24, 2023, the court has asked to relist the matter further.
Nearly two weeks ago, India’s apex court ordered the government to implement the findings of the Directorate General of Trade Remedies (DGTR), under the Ministry of Commerce and Industry. The court had directed the government to impose an ADD on LDPE to protect the interest of domestic producers and prevent them from further injury allegedly caused by cheap imports. Following the government’s waiver of formal notices, the apex court directed it to file the counter affidavit in four weeks and the rejoinder affidavit, if any, within another two weeks by interested parties. The case was filed by the industry body, the Chemical and Petrochemical Manufacturers Association (CPMA) seeking the levy of an exorbitant duty to bring the rate of imported products at par with that of domestic cost of production. The court had noted that the CPMA’s prayer, seeking the implementation of various high court orders to impose an ADD, had not been fulfilled by the government. “We have also taken note of the averments that the non-levy of ADD is causing grave irreparable injury and prejudice to the Indian manufacturers on a daily basis. Accordingly, we direct, pending the final disposal of this petition, an interim measure to the respondent (the government of India) to impose a provisional ADD at the rate determined by the concerned authority earlier. The levy of such ADD shall be subject to the final adjudication in these proceedings,” the previous court order reads.
Based on months of investigation, the DGTR recommended a heavy amount of ADD on LDPE
and its associated products on March 31, 2022. However, the government never implemented the
recommendation despite notifying the proposed duty levy on the same day. After due procedures
and consultations made with overseas exporters to India, the DGTR recommended an ADD from US$17.05 to US$216.76 per tonne on various LDPE exporters, currently being imported from
countries such as Saudi Arabia, Taiwan, and others. Major producing countries also execute
shipments to India from third countries to avoid ‘country of origin’ and potential glare from
Indian authorities.
Similarly, on March 31, 2022, the DGTR recommended ADD on LDPE or high-pressure
polyethylene originating from countries such as Singapore, Thailand, the United States of
America, and other countries, of as high as up to US$216.76 per tonne. The ADD was
recommended at an amount equivalent to the lesser of the margins of dumping and injury to
remove the price difference between the current prevailing market price and the landed cost of
imported products.
India’s overall import of LDPE is estimated at 340,000 tonnes for the calendar year 2022, with
domestic production remaining substantially lower than consumption. Additionally, India
imports a substantial quantity of other products in the ethylene category, which increased
substantially in the last few years.
In fact, the Department of Chemicals and Petrochemicals (DCPC), under the Ministry of
Chemicals and Fertilizers, reported up to 250 percent increase in the import of various ethylene
products between November 2022 and January 2023. Concerned over increasing imports, the
DCPC convened a meeting recently and sought suggestions from stakeholders in the industry,
including producers, users, and representative associations.
Polyethylene is a thermoplastic made by polymerization of the monomer ethylene. LDPE is a
type of polyethylene produced using high-pressure reactors, either through tubular or stirred
autoclaves. Reliance Industries Ltd (RIL) is the sole producer of LDPE in India.
India’s polymer demand rises 12% in FY ’23 on post-pandemic economic recovery
Date: 25th April, 2023
Source: Polymerupdate
India’s polymer demand has risen by 12 percent in the financial year 2022-23, due to a sharp pickup in consumer activities after over two years of the pandemic-induced economic slowdown. Also, moderating retail inflation has provided a breather to consumers and eventually boosted overall sales of retail products in the last few months. Polymer demand remained robust in the last financial year, as it is widely consumed across product sectors from packaging to automotive equipment. Data presented by the industry leader Reliance Industries Ltd (RIL) to the company’s investors and shareholders showed India’s overall polymer demand at 17.1 million tonnes for the financial year 2022-23, compared to 15.3 million tonnes reported in the previous year. Polyethylene (PE) demand is reported to have increased by 8 percent to 7 million tonnes in the financial year 2022- 23, while polypropylene and polyvinyl chloride (PVC) demand jumped by 6 percent and 32 percent to 6.4 million tonnes and 3.7 million tonnes, respectively, compared to their figures of 6.1 million tonnes and 2.8 million tonnes in the previous financial year.
During the fourth quarter of the financial year 2022-23 i.e. January-March 2023, India’s overall polymer demand grew by 20 percent to 4.9 million tonnes as against 4.1 million tonnes reported in the corresponding quarter last year. The country’s PE and PP demand shot up by 11 percent and 8 percent to 1.9 million tonnes and 1.7 percent, respectively, in the January-March 2023 quarter, compared to 1.7 million tonnes and 1.6 million tonnes in the same quarter the previous year. However, PVC demand during the quarter escalated by 67 percent to 1.3 million tonnes, as against 0.8 million tonnes in the comparable quarter the previous year.
CPMA estimates: The apex industry body, the Chemicals and Petrochemicals Manufacturers’ Association (CPMA), in its annual report published for 2022, projected India’s overall polymer demand at 17.05 million tonnes for the financial year 2022-23, a rise of 7.2 percent from 15.9 million tonnes reported in the previous fiscal year. India’s polymer demand had increased by 7.7 percent in the financial year 2021-22 from 14.78 million tonnes in the preceding year. CPMA estimates India’s cumulative polymer production at 13.69 million tonnes, at 90 percent of factories’ operational capacity in the financial year 2022-23, as against 12.86 million tonnes of actual output reported with the same operating rate in the previous financial year. Presently, India has a total production capacity of 15.14 million tonnes, a marginal increase from 14.23 million tonnes in the previous year. Unfortunately, nearly a fifth of India’s polymer demand is met through imports. In the financial year 2022-23, CPMA estimates India’s polymer import at 3.93 million tonnes. Considering a total export of around 636,000 tonnes, India’s polymer trade deficit is estimated at 3.3 million tonnes, according to CPMA. While polymer exports declined substantially over the years, imports have increased.
Global markets As a product, the polymer is used in everyday life and therefore has very high growth potential, especially in sectors like construction, automotive, electrical, and electronics which have witnessed a manifold increase in plastic demand over the last few years. Contrary to the myth that plastic is a product for the packaging industry only, various articles made of rigid and flexible plastics are used in almost every walk of life. These articles are lightweight, flexible, and strong something equivalent to rigid metals. With their recycling value and therefore a big contribution to the circular economy, plastic is cost-effective and easy to carry, and Its demand is likely to accelerate further in the future. According to reports, the global polymer market is estimated to be worth US$659.81 billion in the calendar year 2022 and is now poised to grow with a compounded annual growth rate (CAGR) of nearly 5 percent, reaching US$1,046.15 billion by 2030. Another contributing factor is the increasing polymer demand from the construction industry, especially in emerging economies such as India, China, and Brazil, among others. Increased foreign direct investment (FDI) in the construction sector is set to provide a boost to the global polymer demand. The pandemic-induced stagnation The global polymer demand remained stagnant with flat consumption recorded in FY 2019-20 and FY 2020-21. According to CPMA, India’s polymer demand also stagnated at around 14.7 million tonnes during both pandemic years i.e. 2019-20 and 2020-21. Not only the demand, but its production also remained flat at around 12.4 million tonnes during FY 2019-20 and FY 2020- 21, against India’s overall capacity of 14.2 million tonnes.
The Covid-19 pandemic outbreak began in China in November 2019 and gradually spread to the world with passengers traveling from the infected country. Triggered by a robust demand from non-feed and food packaging, personal care, etc. the demand for polymer remained strong even during the pandemic years, barring reduced consumption from automotive and allied industries. On the other hand, polymer demand went up for manufacturing personal protection testing (PPT) kits, gloves, masks, and medical equipment, including syringes.
Bright future ahead
Polymer demand in India is likely to remain robust in the next few years. CPMA forecasts India’s
polymer demand to record 6.4 percent growth to 18.14 million tonnes in the financial year 2023-
24, with its production to remain at 14.84 million tonnes out of 16.08 million tonnes of overall
installed capacity. However, India would continue to remain import dependent to the tune of up
to 3.28 million tonnes this year due to lower availability from domestic sources. Hence, domestic
producers see no dearth of demand especially in the wake of robust economic growth.
India begins sector-wise analysis of EU carbon tax
Date: 21st April, 2023
Source: Buusiness Standard
India is exploring all possible options to deal with the European Union’s (EU’s) proposed Carbon Border Adjustment Mechanism (CBAM) and has initiated sector-wise analysis of the carbon border tax’s impact on its domestic industries, such as steel and aluminum, among others. With countries getting more conscious towards climate change, the CBAM is a measure aimed at preventing carbon leakage. The measure is not India-specific and will be applicable to all countries. On the one hand, India may consider any retaliatory measure at a multilateral — the World Trade Organisation — level, on the other hand, it’s initiating a sector-wise analysis to assess if the CBAM can act as a non-tariff trade barrier, a person aware of the matter told Business Standard. “Right now, India needs to understand the EU’s point of view as well as the CBAM’s impact on India. If CBAM starts acting like a non-tariff barrier, then we need to address that,” the person cited above said, adding that the government also wants to explore if there is any ‘positive impact’ of the CBAM on India. The EU’s CBAM tool aims at putting a fair price on the carbon emitted during the production of carbon-intensive goods that are entering the EU. The trade bloc also wants to encourage cleaner industrial production in non-EU countries. Starting October 1, exporters will not have to pay tax, but will share details of the carbon content in the covered products with the respective EU-based importers. This data will be shared with the European Commission. From January 1, 2026, the EU will start collecting carbon tax on each consignment. All products will be covered by 2034. Apart from the commerce department, the steel ministry and the energy efficiency bureau under the power ministry have started a thorough impact analysis on the measure. Although the final rules and text on carbon tax is awaited, the commerce department officials have been engaging with the EU bilaterally to explore if there is a scope for a collaborative measure as far as the mechanism is concerned. “The government also feels that there may be some gains for India (under the CBAM). A clear picture will emerge after the rules are out. India will be watching out the reaction of other nations regarding the same as the intensity of the impact will be different from different countries,” another person said. An analysis done by Global Trade Research Initiative (GTRI) showed that the carbon tax is expected to pose a significant challenge for India’s metal industry, considering that 27 per cent of India’s iron, steel, and aluminium exports worth $8.2 billion went to the EU in calendar year 2022. Other sectors, such as electricity, fertiliser, hydrogen, and cement, will also attract carbon tax, but India will not be affected as it does not export these products to the EU.
According to GTRI Founder Ajay Srivastava, the carbon border tax will affect small and big firms
and, as a result, Indian exporters must factor the carbon border tax into their costing and prepare
to minimise its impact.
Windfall tax reimposed on crude, diesel exports duty goes
Date: 20th April, 2023
Source: Financial Express
The government has reimposed windfall tax on domestically produced crude oil with an impost of Rs 6,400 per tonne effective Wednesday and scrapped the levy on diesel exports. The Central Board of Indirect Taxes and Customs, part of ministry of finance, issued the notification on late Tuesday announcing about the change in its latest fortnightly review. The hike in the special additional excise duty (SAED) on domestic crude oil production follows the surge in oil prices by about 9% to $85 a barrel after the OPEC+ decided to cut oil production by 1.16 million barrels a day on April 2. Windfall taxes are one-off levies meant to extract a share for the government from the supernormal profits of oil producers and fuel exporters made due to elevated global crude prices. The Centre had slashed the windfall tax (or SAED) on domestically produced crude oil to zero after moderation in crude oil prices in March 2023 and had halved the levy on diesel meant for exports to Rs 0.5 per litre in early April. The windfall tax was imposed for the first time on July 1, 2022, following spike in oil prices post Russia-Ukraine conflict. The move was also aimed at addressing the crunch in domestic fuel market, as private refiners neglected supplies to domestic retail outlets while tapping the highly remunerative export markets. While the hike in SAED will increase government revenue, it will impact the oil companies as they will have to pay higher tax on the sale of domestically produced crude oil. Prashant Vashisht, vice president and co-group head, ICRA, said that the agency expects government collections from the same to be in the range of Rs 15,000 crore for FY24. About 77.5% of crude oil is produced by state-run ONGC and OIL, while private firms have a share of about 22.5%. Of the total crude oil production of 25.4 million tonnes in India in FY23 till February 2023, ONGC produced 16.8 million tonnes and OIL produced 2.8 million tonnes. The Indian basket of crude oil prices recorded a high of $116/bbl in June 2022 before moderating to $78.54/bbl in March 2023. But it has risen again to an average of $85.59/bbl so far in April 2023.
BIS recommends the Environment Ministry to avoid certifying biodegradable plastics
Date: 20th April, 2023
Source: Polymerupdate
The Bureau of Indian Standards (BIS), which operates under the Ministry of Consumer Affairs, has recommended that the Ministry of Environment, Forest & Climate Change (MoEF&CC) to certifying the biodegradability of plastics due to the lack of such findings both in India and abroad. The recommendation confirms that neither the BIS nor any other agency has arrived at a final conclusion regarding the biodegradability of plastics thus far. According to Pramod Kumar Tiwari, the Chairman of BIS, research in India and abroad is still ongoing to determine whether plastic is entirely biodegradable. Therefore, it cannot be firmly stated whether the claimed biodegradable plastics are wholly biodegradable or not. The industry is still working on this. Therefore, the certification of the biodegradability of plastics will require assurance. Hence, it has been advised to the MoEF&CC not to certify such products,” Tiwari said while addressing a press conference on ‘Green Standards’. Tiwari warned that any such claims by manufacturers, wholesalers, or retailers that their products are completely biodegradable will constitute ‘misleading advertising’. BIS conveyed the message during a recent interaction with the MoEF&CC. Presently, the plastic industry enjoys some mechanisms to test the materials’ biodegradability, but the same cannot be confirmed with surety that they are 100 percent biodegradable. Certain manufacturers have claimed that their plastic materials are 100 percent biodegradable. However, Tiwari stated that there are no facts to prove this claim and has asked MoEF&CC not to certify such claims. The Ministry has agreed to our request. According to Tiwari, the Central Institute of Petrochemicals Engineering and Technology (CIPET) has already conducted research on this aspect in India. But, no final conclusion claiming plastic materials are 100 percent biodegradable has been proved yet. Presently, there are some environment-friendly materials available in India that help in reducing carbon footprints. “Until findings are arrived at, it cannot be firmly said that such materials are 100 percent biodegradable. Any such claims would be a fit case of misleading advertisement,” Tiwari added. The BIS has developed some standards for wind turbines, energy-efficient motors, and solar PV modules in the renewable energy segment, raw materials for construction (like fly ash, construction, and demotion waste, cement, and fly ash bricks), waste disposal (like recycling of plastics waste), electronic vehicles (EV charging infrastructure and battery swapping system), agriculture (organic farming process). The BIS is in the process of framing standards for carbon trading also. So far, the BIS has introduced 22,000 quality standards, of which 50 percent are related to products and the remaining half to services.
CPCB seeks regular inspection
The Central Pollution Control Board (CPCB), under the MoEF&CC, has directed its state service
offices i.e. State Pollution Control Board (CPCB) and Pollution Control Committees (PCCs), to
conduct regular inspections of entities that claim to use biodegradable materials and deal in
single-use plastics (SUPs) under the aegis of environment-friendly products. The main objective
of this directive is to eradicate SUPs from the system and produce materials meant for recycling.
In a direction recently issued to the SPCBs and PCCs, the CPCB has clarified that no certificate
for the production or handling of biodegradable materials has been issued by it so far. Thus,
producers’ claim to have been producing biodegradable materials in the guise of banned SUPs
should be strictly handled.
“Therefore, regular inspections of entities (industries, commercial establishments, distributors,
stockists, sellers, users, etc.) should be conducted to ensure that banned SUP products claiming
biodegradable (without CPCB certificate)/oxo-biodegradable are not manufactured, imported
stocked, distributed, sold, or used. Also, regular inspection of industries is necessary to ensure
that only manufacturers having an authorized certificate from the CPCB are involved in the
manufacturing process of compostable materials,” the CPCB added.
In fact, the manufacturers and sellers of biodegradable and compostable plastic commodities are
required to be certified by the CPCB. It was observed that banned SUP products claiming to be
biodegradable/oxo-biodegradable products are being sold in the market. The CPCB reiterated
that it has not issued any certificate for biodegradable products under the Plastic Waste
Management Rules, 2022, to date.
It is worth mentioning here that in August 2022, the CPCB issued Standard Operating Procedure
(SOP) guidelines for producing biodegradable materials. Under this SOP, the CPCB defined
biodegradable plastics. As per the rule, plastics other than compostable plastics, which undergo
degradation by biological processes under ambient environment (terrestrial or in water)
conditions, without leaving any microplastics, or visible, or distinguishable or toxic residues that
have adverse environmental impacts, adhering to laid down standards of Bureau of Indian
Standards and CPCB.
On biodegradable products, manufacturers are asked to generate a QR code based on the details
provided in the certificate issued by CPCB, and a QR code shall be provided on each of the carry
bags or commodities or both manufacturers at the certified unit. The details of the QR code shall
be shared with the concerned SPCB/PCC under its jurisdiction. The same QR code, however,
needs to be shared with the CPCB also.
To ensure the effective implementation of the ban on SUP, the CPCB has ordered India’s 18
primary resin manufacturers to abstain from the supply of plastic raw materials to the
manufacturers of banned SUP items and print the precautionary instruction on each packet to
prevent their misuse.