Businesses in the industry are increasing ethanol output to fulfill government objectives for blending with petrol and diesel. Organic ethanol is made from biomass. Blending ethanol with gasoline decreases vehicle emissions. Over the next two years, ethanol manufacturer BCL Industries wants to boost the group distillery capacity to 850 kilo litre per day (KLPD) from 600 KLPD to capitalize on the supply-demand gap.
BCL claimed in a BSE filing that it has an installed capacity of 600 kiloliters per day (KLPD) with growth plans up to 850 KLPD and multi-feedstock and contemporary plants in Punjab and West Bengal.
The Punjab government would repay SGST on the boiler’s capex if it burns paddy straw.
In the Centre’s Blended Petrol (EBP) Programme, specialized ethanol facilities sell ethanol to OMCs for blending with petrol.
The Centre government has raised ethanol prices twice in recent months to meet the 12% blending target in the current ethanol year and 20% by 2025.
Currently, gasoline contains 10% ethanol. Organic ethanol is made from biomass. Because of its greater octane number than gasoline, ethanol is combined with petrol to boost that number. Ethanol contains little water.
Last month, Union Minister of Road Transport and Highways Nitin Gadkari introduced a 100% ethanol-powered Toyota Innova. He stated India might benefit from ethanol, an indigenous, eco-friendly, and renewable fuel.
The ethanol business benefits farmers. The nation will consume more ethanol. He stated it will transform India’s farm sector.
Conclusion:-
Ethanol production is increasing to meet government targets for blending with petrol and diesel. BCL Industries plans to increase its distillery capacity to 850 KLPD over two years, aiming to capitalize on the supply-demand gap. The Centre’s Blended Petrol Programme allows specialized ethanol facilities to sell ethanol to OMCs for blending with petrol. The government has raised ethanol prices twice to meet 12% blending targets in the current year and 20% by 2025. Ethanol, made from biomass, is combined with petrol to increase its octane number. Union Minister of Road Transport and Highways Nitin Gadkari introduced a 100% ethanol-powered Toyota Innova, highlighting the potential benefits of ethanol for farmers and the transformation of India’s farm sector.
