Business & Economy

Govt. to support ethanol blending of petrol in a big way: Pradhan

NetIndian News Network

New Delhi, February 11, 2016

The government was committed to time-bound execution of initiatives to introduce ethanol-blended petrol and bio-diesel in the country, Minister of State for Petroleum and Natural Gas Dharmendra Pradhan said today.
Inaugurating a national seminar on “Lignocellulose to Ethanol --Roadmap for India,” Mr Pradhan said oil marketing companies had already invited bids for 1.2 billion litres of ethanol for blending in petrol for sugar year 2015-16 which would be approximately 5% of the country’s total petrol consumption.
Listing out the benefits of using ethhanol-blended petrol, he said that it would not only help in value addition for the farmer’s produce but will also reduce foreign exchange expenditure. Added benefits of blended petrol would be in the form of employment generation, entrepreneurship promotion and environment protection.
Ethanol-blended petrol was introduced in 2003 but the process got impetus only in 2014-15 when the new government took policy decisions to incentivize petrol blending, he said.
While there was a demand for ethanol for blending with petrol,  technological and financial challenges need to be overcome. The Petroleum Minister called upon various departments of Government, State Governments, academic and research institutions to work together to find solutions to these challenges.
Molasses to ethanol conversion was already going on and the Government has taken up second generation of lignocelluloses to ethanol production to utilize agricultural residues/wastes, and achieve the target of 10% ethanol blending, he added.
The National Seminar was aimed at accelerating the EBP programme in the country and to draw up a roadmap for establishing ethanol industry from lignocellulosic route thus reducing the foreign exchange outflow while generating rural employment and protecting the environment.