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Home Editor's Pick Articles

How Biofuel Startups Are Reimagining Waste Management in India

By Kishan Karunakaran, CEO and Founder, Buyofuel

Palak by Palak
June 12, 2026
in Articles
Reading Time: 3 mins read
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Kishan Karunakaran, CEO of Buyofuel
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India has a waste problem. And a big energy problem. The surprising part? Both have the same answer.

Every year, India throws away over 62 million tonnes of waste. Farmers burn leftover crop stubble in their fields, turning the sky grey. Hotels pour out thousands of litres of used cooking oil. Factories are left with piles of material they don’t know what to do with. For years, this was seen as a problem with no real fix, something the country had learned to live with, not solve.

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Biofuel startups are proving everyone wrong. They are looking at India’s waste and seeing something that most people walked right past: fuel. Usable, scalable, commercially viable fuel.

The Change That Matters

The old way was simple, waste goes to a dump, energy comes from coal or oil. Two separate problems, managed separately. Both getting worse year after year.

The new way solves both at once. Leftover crops become solid fuel that replaces coal in factories. Used cooking oil becomes biodiesel. Kitchen waste powers biogas plants in villages. What one person throws away becomes the raw material for another person’s business. Nothing is wasted. Everything finds a second life and a better purpose.

This is not just a good idea. It is a real, growing market. And India, with its enormous amount of waste and its huge hunger for energy, is the best place in the world to build it.

The government has pushed things forward too. A clear national policy on biofuels, a stop on importing biofuels from other countries, and targets to mix more biofuel into petrol and diesel, all of this has made the business case stronger. Industries that once ran entirely on coal are now actively looking for cleaner, cheaper, and more stable alternatives. The direction is set. The only question is who steps up to build it.

What Was Always Missing

Here is the honest truth: India always had enough waste to make biofuels work. The know-how was there too. What was missing was a simple, reliable way to connect the right people to each other at the right time.

Waste generators did not know who would take their material or what price they would get. Biofuel makers struggled to find a steady, reliable supply. Factories and industries had no easy or trusted way to buy cleaner fuel. Everyone was working in their own corner, deals fell through, and quality was never consistent. Nothing came together the way it should have.

That gap was holding the entire industry back for years. And closing it is exactly where the real opportunity lies, not just in making biofuels, but in building a proper, organised market around them. One where buyers trust what they are getting, sellers know where their next order is coming from, and the whole chain runs smoothly and reliably, from waste pile to fuel tank to factory floor.

Where This Goes

India’s waste is not going away. Neither is its need for energy. The smartest move, and the most practical one, is to use one to solve the other. Simply, reliably, and at a scale that actually makes a difference for the country.

The conversation around clean energy in India has for too long focused only on solar panels and wind turbines. Biofuels deserve a seat at that table. They do not need new land or expensive new infrastructure, they need the waste that is already sitting there, and a system that is smart enough and organised enough to put it to real use.

The answer was never in a landfill. It was in a better system, one that is smarter, cleaner, and long overdue. And bit by bit, India’s biofuel startups are building exactly that system, one deal, one tonne, one cleaner choice at a time.

Tags: Buyofuel
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