Inception
About 98% of the fuel requirement in the road transportation sector is currently met by fossil fuels and the remaining 2% by biofuels. Today, India imports 85% of its fuel oil requirement. (Source: NITI AYOG)
India’s net import of petroleum was 185 Mt at a cost of US $ 551 billion in 2020-21.
The National Policy on Biofuels – 2018, provides an indicative target of 20% ethanol blending under the Ethanol Blended Petrol (EBP) Programme by 2030.
Ethanol is one of the principal biofuels. Ethanol is a less polluting fuel and offers equivalent efficiency at lower cost than petrol.
A successful E20 program can save the country US $4 billion per annum
US $551 Billion
India's Net Oil Import Bill
20% Ethanol Blending
US $4 Billion Annual Saving
1.
Government of India has announced 10 % blending of ethanol in petrol by 2022 and 20% blending by 2025 in the country.
2.
The requirement of ethanol in 2025 in India at 20 % blending with petrol will be approximate 1016 crore Litres.
3.
The Government of India have already made it mandatory for OMC to go for 20 % blending by 2025.
4.
Present requirement of ethanol (2021-22) for 10 % blending will be 465 Crore litters and supply is <350 Crore Litres.
EBP Policy
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The National Policy on Biofuels – 2018, provides an indicative target of 20% ethanol blending under the Ethanol Blended Petrol (EBP) Programme by 2030.
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The current level of average ethanol blending in the country is 5% (Ethanol Supply Year 2019-20).
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Due to several interventions in the supply side of ethanol, the Ministry of Petroleum aims to achieve 10% ethanol blending levels in the Ethanol Supply Year (ESY) – 2021-22 i.e. April, 2022.
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The requirement of ethanol in 2025 in India at 20 % blending with petrol will be approximate 1016 crore Litres. The Government of India have already made it mandatory for OMC to go for 20 % blending by 2025.
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Present requirement of ethanol (2021-22) for 10 % blending will be 465 Crore litters as OMCs have already floated Tenders and it is expected that the distillery industry will not be able to supply more than 350 Crore Litres.