Nod to interest subvention for ethanol distilleries

New Delhi, December 30

The Union Cabinet on Wednesday approved an interest subvention of Rs 4,573 crore for new distilleries producing ethanol, which can be used for doping in petrol, Oil Minister Dharmendra Pradhan said.

Briefing the media, Pradhan said, “The Union Cabinet has approved the modified scheme to enhance ethanol distillation capacity in the country for producing the first generation product from feed stocks such as cereals (rice, wheat, barley, corn & sorghum), sugarcane, sugar beet etc.” India will need about 1,000 crore lt of ethanol for doping in petrol by 2030 with a view to cut dependency on imports for meeting oil needs. “The nation currently has a capacity of 684 crore litres,” he added.

The government has fixed a target of 10 per cent blending of fuel-grade ethanol with petrol by 2022 and 20 per cent blending by 2030. — TNS