India has set a target of 20% ethanol blending (E20) with petrol by 2025-26, advancing the previous timeline from 2030.
Key stakeholders include the Ministry of Petroleum and Natural Gas, Oil Marketing Companies (OMCs), Ministry of Agriculture, biofuel producers, automobile manufacturers, and farmers.
The government offers various incentives including interest subvention on loans, viability gap funding, assured procurement by OMCs, and support for setting up 2G ethanol plants under the National Bio-Energy Programme.
Biofuel blending reduces carbon emissions, improves air quality, and decreases dependency on fossil fuel imports, aligning with India’s commitments under the Paris Agreement and its goal to achieve net-zero emissions by 2070.
Biofuels are renewable and emit fewer greenhouse gases than fossil fuels. Ethanol combustion produces lower carbon monoxide and particulate matter, contributing to improved air quality.
Yes, increasing domestic ethanol production and blending can significantly reduce the country’s reliance on imported crude oil, saving valuable foreign exchange.
While 1G biofuels may compete with food crops, the government promotes 2G biofuels that use non-food biomass, minimizing the risk to food security and promoting sustainable agriculture.
Environmental concerns include water usage, land use changes, and waste management. These can be mitigated by adopting sustainable feedstock sourcing and promoting advanced biofuel technologies.
Biofuel production creates a steady demand for agricultural produce and crop residues, offering farmers additional income streams. It also promotes rural entrepreneurship and job creation in the bioenergy sector.
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