The rationale of taking up a major program for the production of biodiesel in India for blending with diesel lies in the context of:

1. Biodiesel being a superior fuel than HSD from the environmental point of view.

2. Use of biodiesel becomes compelling in view of the tightening of automotive vehicle emission standards and court interventions.

3. The need to provide energy security, especially for the rural areas.

4. The need to create employment.

5. Providing nutrients to soil, checking soil erosion and land degradation.

6. Rehabilitating degraded lands through greening.

7. Addressing global concern relating to containing carbon emissions as provided in the framework convention on climate change.

8. Reduce dependence on crude oil imports.