Union Minister of Petroleum & Natural Gas, Shri Dharmendra Pradhan has said that oil PSUs have entered into Memorandums of Understanding (MoUs) with State Governments and Technology Providers for setting up five 2G ethanol bio-refineries. Foundation stone of Hindustan Petroleum Corporation Limited’s first 2G ethanol bio-refinery in Bathinda, Punjab, has been laid. 

In a written reply in Rajya Sabha, Minister said that Detailed Feasibility Report (DFR) for bio-refineries at 5 places has been prepared. Land has been allotted in 5 places. On 4th June 2018, a Joint Venture company namely “Assam Bio-Refinery Private Limited”  has been incorporated with equity participation among Numaligarh Refinery Limited (NRL), M/s Chempolis Oy of  Finland and M/s Fortum 3 B.V. of Netherland, for setting up 2G Ethanol Biorefinery in Assam. 

The Government through Oil Marketing Companies (OMCs), is implementing Ethanol Blended Petrol (EBP) Programme under which, OMCs sell ethanol blended petrol with ethanol blending percentage up to 10%, subject to the availability of ethanol.    

He said that the quantity of ethanol available for EBP Programme is less than the quantity required to achieve blending targets as ethanol produced in the country is also used in Potable and Chemical Sector.  For the ethanol supply year 2017-18, OMCs had floated tender for procurement of 313 crore litres of ethanol against which contracts have been signed for supply of 153.74 crore litres of ethanol under EBP Programme. In the National Policy on Biofuels – 2018, Government has allowed B-heavy molasses, sugarcane juice and damaged food grains as feedstocks to increase the availability of ethanol.