Ethanol use seen growing quickly in India
Ambrosia|January 2021
With blending of ethanol likely to be increased from 5% to 10% and to perhaps 20% the need for producing ethanol from various feedstocks will have to be increased

The Union Cabinet on 30th December approved a modified scheme to enhance ethanol distillation capacity in the country for producing first-generation ethanol from feedstocks such as rice, wheat, barley, corn, sorghum, sugarcane and sugar beet.

Union Oil Minister for Petroleum and Natural Gas Dharmendra Pradhan said this is part of the government’s move to meet the demand of 1,000 crore litres of ethanol by 2030.

State-run oil marketers are required to blend 10% ethanol in petrol under the national policy on biofuels 2018 by 2022 and 20% by 2030. But so far this has not been moving at scale as surplus sugarcane was not easily available and the blending is only 5% now.

To improve supplies of ethanol-blended petrol, the government has widened the feedstock options. Accordingly, the National Biofuel Coordination Committee of the oil ministry in June allowed the conversion of surplus rice with the Food Corporation into ethanol. And on November 16 it also allowed procurement and conversion of the surplus maize into ethanol.

With this, the ethanol production happens from six feedstocks - 100% sugarcane juice/sugar syrup/sugar; B-heavy molasses which is sweeter; C-heavy molasses which is mildly sweet; damaged food grain; surplus rice from FCI and surplus maize.

More feedstocks will enable faster procurement and the resultant conversion into ethanol blending, Arun Singh, the director for refineries and marketing at BPCL said, adding surplus rice procurement process from FCI has already started for the 2020-21 cycle and very soon OMCs shall start procuring maize for making ethanol as well.

“We are on our way to achieving ethanol blending target of 10% for petrol by 2022, as additional sources for ethanol have been added now,” Singh told PTI recently.

He said currently OMCs are able to blend only 5% or 180 crore litres of ethanol and blamed the lower blending to the shortage of sugarcane last year due to the drought in many regions of key sugarcane producing states. But this year sugar production is expected to be surplus due to the good monsoons, he added.

Singh expects ethanol blending will rise to 7.5-8 per cent or 325-350 crore litres in 2021 and 10% or 370 crore litres in 2022 with more feedstock to choose from.

Of the total blending by 2022, 300-350 crore litres will come from sugarcane, and the rest from non-sugar feedstock like damaged foodgrains, he said, adding 160 crore litres of 180 crore litres come from sugarcane.

The national policy on biofuels 2018 envisages that during a crop year if there is projected over-supply, the surplus can be converted into ethanol. And according to Road and Highways Minister Nitin Gadkari, the ethanol economy is a ̀ 50,000crore opportunity if scaled up as planned.

As of April 1, 2020, the FCI has a total of 58.49 million tonnes of foodgrains in its godowns. Of this, rice is 30.97 million tonnes and wheat 27.52 million tonnes, which are much higher than the required reserve of about 21 million tonnes.

Singh said the estimated annual petrol demand is pegged at 4,600 crore litre this year, which means 450-460 crore litre of ethanol mixing in the December 2020-November 2021 crop cycle.

Continue reading your story on the app

Continue reading your story in the magazine

MORE STORIES FROM AMBROSIAView All

The New Indian Single Malt: Kamet

Let’s start with a brand new whisky from a two-year-old company called Peak Spirits. After Amrut and Paul John, there’s another Indian single malt whisky that’s coming to town, from the makers of Jin Jiji—a newly-released cashew gin from Goa—comes Kamet, an Indian single malt whisky that celebrates its provenance. While it’s inspired by Mount Kamet in Uttarakhand, one of the highest peaks in the country, Kamet draws on local motifs and characters such as the Indian parrot, an important part of the culture in the villages surrounding the distillery near Kurukshetra. Lopamudra Ganguly Speaks to Ansh Khanna, the curator of Kamet.

4 mins read
Ambrosia
March 2021

Taking the Bar home

Jimmy’s Cocktails is a unique, ready-to-drink premium cocktail mixer brand that delivers all the complexity and craftsmanship one would find at their favourite bar. Crafted by some of India's top mixologists, Jimmy’s range of cocktail mixers are made with fewer calories, natural flavours and zero artificial sweeteners - achieved by using only the highest quality ingredients with their natural sweetness. Ankur Bhatia talks about how the company Radiohead Brands, makers of Jimmy’s Premium Cocktail mixers, wants to raise the bar for consumers who want to have their cocktails at home

6 mins read
Ambrosia
March 2021

Pour me another tequila, Sheila

So run the lyrics of a famous song. Apt because it is an indicator of the growth of tequila.

5 mins read
Ambrosia
March 2021

The Cocktail Story

India’s first digital platform that builds an ecosystem of the hospitality industry, alcobev brands and spirit enthusiasts. The Cocktail Story has been capturing the bar scenario all across India promoting the beverage culture highlighting bartenders & updates of local & international brand products, explains, Ms. Vidhi Puri, Founder, The Cocktail Story.

3 mins read
Ambrosia
March 2021

Hospitality industry can profit by going green

Interview with Vaibhav Jaiswal, Director & Co-Founder of Prakritii Cultivating Green, the first 'Made-in-India' range of organic products in the lifestyle category

4 mins read
Ambrosia
March 2021

FLAIR AND FAIR BARTENDING

Three cheers for Women Pioneers who are exploring an unchartered career path in India. Lopamudra Ganguly in conversation with Ami Shroff about her career and Flair bartending. Excerpts from the Interview:

5 mins read
Ambrosia
March 2021

Kyndal Group unveils impressive portfolio

Kyndal's portfolio includes the likes of Cutty Sark and The Famous Grouse blended Scotch whisky, The Macallan single malt Scotch whisky, Bols X.O. Excellence brandy, Richton V.S.O.P brandy, Bootz Dark Jamaica Rum and a selection of Bols Liqueurs. Pushpanjali Banerji, Brand Director, Kyndal Group & Founder and Director Taali Media outlines her marketing plans for the company.

5 mins read
Ambrosia
March 2021

Delhi new excise policy lowers drinking age to 21, only 3 dry days

• Bars and pubs to be open till 3 a.m • Steep hike in license fee from ₹8 lakhs to ₹75 lakhs • State excise revenues to increase by nearly ₹2,000 crores

5 mins read
Ambrosia
March 2021

2020 AUSTRIAN WINE MARKET FIGURES RELEASED

Plunging On-Trade & Tourism Sales Not Recovered Through High Sales in Other Channels; Exports High Despite Pandemic

7 mins read
Ambrosia
March 2021

Covid-19 Impact And Recovery To 2030

The "Spirits Global Market Report 2021: Covid-19 Impact and Recovery to 2030" report gives an idea of the shape of things to come in the alcobev industry.

5 mins read
Ambrosia
March 2021
RELATED STORIES

Bidders to submit details of ultimate beneficial owners for security clearance

PURCHASE OF GOVT’S STAKE IN CPSEs

2 mins read
Millennium Post Delhi
February 17, 2021

THE MANTRA OF PRIVATISATION

The 2021-22 budget signals the government’s intent to disinvest like “never before”. But if that’s the new model for economic recovery, it’s easier said

10+ mins read
India Today
February 15, 2021

Selling Life Breathing Life

The largest public issue in the history of India’s capital market is expected later this year with an estimated value of ₹1 lakh crore. The LIC IPO will give the individual investor an opportunity to be part of one of the biggest and oldest brands of the country that is built solely on trust and confidence

10+ mins read
Outlook Money
February 2021

'WE ARE BUILDING A STRATEGIC DISINVESTMENT PIPELINE'

The pandemic had put the brakes on the government’s ambitious disinvestment plans for the fiscal. However, things have started picking up as businesses go back to normal and markets regain their appetite for buying assets. The Department of Investment and Public Asset Management (DIPAM), entrusted with disinvestment of central public sector enterprises (CPSEs), has an uphill task ahead given that it is racing against time to meet the annual disinvestment target. DIPAM Secretary Tuhin Kanta Pandey, in a conversation with Dipak Mondal, lays down the road ahead for the department.

8 mins read
Business Today
December 13, 2020

बीपीसीएल निजीकरण: 3-4 बोलियां मिली

रिलायंस, अरामको, बीपी, टोटल जैसी कोई बड़ी कंपनी दौड़ में नहीं

1 min read
Samagya
November 17, 2020

बीपीसीएल की दौड़ में कई फर्मे

अभिरुचि पत्र जमा कराने के अंतिम दिन कम से कम तीन से चार कंपनियों ने सौंपे पत्र

1 min read
Business Standard - Hindi
November 17, 2020

बीपीसीएल निजीकरण: सोमवार को बंद होगी बोली, सभी निगाहें रिलायंस पर

भारत पेट्रोलियम कॉरपोरेशन लिमिटेड (बीपीसीएल) के निजीकरण के लिए प्रारंभिक बोलियां सोमवार को बंद हो जाएंगी और ऐसे संकेत हैं कि ब्रिटेन की बीपी, फांस की टोटल और सउदी अरामको जैसी बड़ी कंपनियों के बोली लगाने की संभावना नहीं लगती है।

1 min read
Rokthok Lekhani
November 16, 2020

कोरोना का लॉकडाउन नहीं आया होता तो अब तक बिक जाता बीपीसीएल

मैं देश को बिकने नहीं दूंगा-मोदी बीपीसीएल की हिस्सेदारी बेचने के लिए बुलाया ऑफर

1 min read
Rising Indore
July 01, 2020

Indraprastha Gas Limited (IGL): Strengthen Your Portfolio With IGL

Since the natural gas industry in India is likely to grow faster in the coming years due to the push given by the government to make India a gas-based economy, one of the benefactors will be Indraprastha Gas Limited.

5 mins read
Dalal Street Investment Journal
April 13, 2020

Growth-Oriented Career in Chemical Engineering

While choosing engineering as a career, one branch that comes across every student's mind is the chemical engineering. The branch has been able to maintain a numero uno position since decades and holds good growth prospects too. In India, it has bright future in PSU companies with heavy salary also in chemical processing and research industries, medicines or biotechnology. There is a great demand in Gulf countries too owing to handsome packages. It is indeed a much sought-after stream among engineering aspirants as it promises a bright career scope due to the wide range of related professions.

3 mins read
SME World
January 2020