India’s Ethanol Distillation Capacity Likely To Double By 2025: Centre

Department of Food and Public Distribution (DFPD) secretary Sudhanshu Pandey has stated that the capacities for the distillation of ethanol in India would likely double by 2025 with the country well in line to meet its 20 per cent blending target too.

The Ministry of Consumer Affairs, Food & Public Distribution has stated officially in a release that the blending of ethanol with petrol will result in positive impacts on the country’s economy.

Reportedly, such a move will promote the use of ethanol as an indigenous fuel that is also non-polluting and even virtually inexhaustible. Moreover, the utilization of E20 fuel will cut down the emission of carbon monoxide and hydrocarbon by 30-50 per cent and 20 per cent respectively.

“As a result of various measures taken to address demand and supply-side issues, it is likely that ethanol distillation capacities in the country would be more than doubled by 2025 and we would be able to achieve 20 percent blending target,” Pandey was quoted in a report by the Times of India.

Moreover, the government is also encouraging sugar mills and distilleries to expand their distillation capacities. Banks loans for which interest subvention will be borne by the government itself are being extended to entities for the purpose.

An estimated investment of about Rs 41,000 crore is expected soon for the capacity building or addition of new distilleries that will also play a part in further strengthening the agricultural economy and creating new employment opportunities in rural areas.