Cabinet changes biofuels policy and advances ethanol blending target to 2025-26



The Union cabinet on Wednesday approved advancing the target of blending 20% ​​ethanol in 5-year gasoline to 2025-26, as well as allowing more feedstock for production biofuels with the aim of reducing dependence on imported oil to meet the country’s energy needs. .

The Cabinet, led by Prime Minister Narendra Modi, at its meeting on Wednesday approved amendments to the National Biofuels Policy, according to an official statement.



The main amendment seeks to advance the goal of blending 20% ​​ethanol in gasoline (20% ethanol, 80% gasoline) to 2025-26 from 2030.

Currently, about 10% of ethanol is blended into gasoline.

In addition, more raw materials have been authorized for the production of biofuels which can be boosted with automotive fuels.

It also plans to promote the production of biofuels in the country, under the Make in India scheme, by units located in Special Economic Zones (SEZ)/Export Oriented Units (EoUs).

These decisions will help India, which depends on imports to meet 85% of its oil needs, to reduce its reliance on overseas shipments.

The Cabinet also approved the granting of “authorization for the export of biofuels in specific cases,” the statement said.

The amendments will also attract and foster the development of indigenous technologies which will pave the way for the Make in India campaign and thereby generate more jobs.

The existing national policy on biofuels appeared in 2018.

“This proposed amendment will pave the way for the Make in India campaign, thereby leading to a reduction in imports of petroleum products through the production of more and more biofuels.

“As many other feedstocks are allowed for the production of biofuels, this will promote Atmanirbhar Bharat and give impetus to the Prime Minister’s vision that India will become ‘energy independent’ by 2047 “, adds the press release.

(Only the title and image of this report may have been edited by Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

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