Initiatives are Taken under Ethanol Blended Petrol Programme
- Opening of an alternate route for ethanol production
- Amendment to Industries (Development & Regulation) Act, 1951, enables smooth ethanol movement across the country.
- GST reduction on ethanol from 18% to 5%
- EBP was extended to the whole of India except Andaman and Nicobar and Lakshadweep
- Interest Subvention Scheme by the Department of Food and Public Distribution (DFPD)
- MoP&NG has also issued a ‘Long Term Ethanol Procurement Policy’ under EBP Programme on 11.10.2019
Ethanol Blended Petrol (EBP) Program
Ethanol Blended Petrol Programme (EBP) is an initiative by the Government of India (GoI) under the National Policy on Biofuels. It was launched in the year 2003. It aims to promote renewable energy, reduce the import of fuels from other countries, and promote the use of environment-friendly fuels.
The government aims to mix 5% ethanol in fuel by 2020, which will increase by 20% (E20) by 2030. Ethanol needed to be blended will be sourced from domestic sources and at prices fixed by the government. This initiative will impact various sectors, including agriculture, environment, energy, etc. It will also help the farmers to earn extra income as the ethanol will be produced as a side product from Sugarcane, Maize, Bajra, Fruit and Vegetable wastes, etc.