20% ethanol in petrol

INDIA imports 85 per cent of its oil requirements and the petroleum bill for 2020-21 was a whopping $551 billion. Blending of biofuel ethanol can reduce the quantity of petrol required to run a vehicle. The Union Cabinet’s decision to advance the date by which fuel companies have to increase the percentage of ethanol in petrol to 20 per cent — known as the E20 target — to 2025 from 2030 is aimed at cutting the dependence on imported, costly and polluting petrol. At present, the all-India average blending is 9.9 per cent; petrol with up to 20 per cent ethanol will be introduced from April 1, 2023. Derived from sugarcane molasses, corn and rice, ethanol is also considered a cleaner alternative energy source to mitigate carbon emissions.

The roadmap for E20 lists as favourable factors the availability of large arable land that can be cultivated for ethanol, the potential of large-scale use of the biofuel since India is the second largest global producer of sugarcane, and the feasibility of making vehicles compliant with ethanol-blended petrol. Achieving the 2025 target is a huge challenge. A consistent annual supply of 1,500 crore litres of ethanol would be required — a sizeable jump from the current production levels. While welcoming the Atmanirbharta spirit that is implicit in the pitch for ethanol, there are concerns over how raising the stakes on the biofuel may not be entirely in sync with the push for electric vehicles, and that land can be used far more efficiently for generating renewable power.

Automakers have achieved material compatibility for all vehicles for E10, but E20 is a different ballgame. Despite the roadblocks, to the government’s credit, a number of interventions have resulted in the augmentation of production capacity, leading to increased ethanol blending. The task of an improved ethanol inventory has been laid out, providing an opportunity for the production line.