Informist, Monday, Sep 16, 2024

NEW DELHI – Oil marketing companies procured 5.26 bln ltr of ethanol and achieved a cumulative blending of 13.6% in the ethanol supply year 2023-24 (Nov-Oct) as of Sep 1, according to a monthly report by the Petroleum Planning & Analysis Cell. In August, oil companies bought 653 mln ltr of the biofuel and achieved 15.8% blending with petrol, unchanged from last month.

Oil companies buy ethanol to blend with petrol to promote green mobility and achieve blending targets. To reduce dependence on crude oil, the government has set a target of achieving 15% blending of ethanol with petrol in 2023-24, 18% in the subsequent year, and 20% in 2025-26. To achieve the 20% blending aim, India needs about 10.16 bln ltr of ethanol and 13.50 bln ltr for other uses.

To boost ethanol blending, in August, the government rolled back restrictions on the usage of sugar cane juice and sugar syrup for ethanol production in the upcoming ethanol supply year starting November. It also allowed ethanol distilleries to buy a maximum of 2.3 mln tn of rice in the Food Corp of India's weekly rice auctions to ensure feedstock availability for biofuel production. Ethanol is made from starch-containing feedstocks such as molasses and grains. End

Reported by Afra Abubacker

Edited by Vidhi Verma

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