Lok Sabha Question No. 2578 (UNSTARRED), answered on 2022-03-17
Subject: Ethanol Production
Ministry: PETROLEUM AND NATURAL GAS
Asked by: Poonamben Hematbhai Maadam, Sadashiv Kisan Lokhande, Sanjay Jaiswal

## LOK SABHA UNSTARRED QUESTION No. 2578 TO BE ANSWERED ON 17 th MARCH, 2022

## Ethanol Production

## 2578. SHRIMATI POONAMBEN MAADAM: SHRI SADASHIV KISAN LOKHANDE: SHRI SANJAY JAISWAL:

isVªksfy;e vkSj izkd`frd xSl ea=h

Will the Minister of PETROLEUM AND NATURAL GAS be pleased to state:

- (a)  whether the Government proposes to promote ethanol production and if so, the details thereof along with the current ethanol production capabilities, State/UTwise;
- (b)  whether  any  steps  have  been  taken  by  the  Government  or  any  subsidy/tax benefits would be given to the producers for increasing the production and if so, the details thereof.
- (c)  whether  the  Government  has  set  fuel-blending  targets  for  petroleum  run vehicles and if so, the details thereof;
- (d)  the current status of fuel blending, State-wise including Gujarat;
- (e)  the quantum  of ethanol produced in the country, year and State-wise particularly in Maharashtra during the last three years and the current year; and
- (f)  whether the Government provides tax benefits for ethanol producers and if so, the details thereof?

## ANSWER

isVªksfy;e vkSj izkd`frd xSl ea=ky; esa jkT; ea=h ¼Jh jkes'oj rsyh½

## MINISTER OF STATE IN THE MINISTRY OF PETROLEUM & NATURAL GAS (SHRI RAMESWAR TELI)

(a) & (b): Government has notified the National Policy Biofuels - 2018 to promote biofuels  including  ethanol  production  under  the  Ethanol  Blended  Petrol  (EBP) Programme.  Government,  since  2014,  has  taken  several  measures  to  increase production  and  utilization  of  ethanol  in  the  country  which  includes  permitting procurement of ethanol produced from other non-food feedstock besides molasses, like  cellulosic  and  lignocelluloses  materials  like  cotton  stalk,  wheat  straw,  rice straw, bagasse, bamboo etc. including petrochemical route, subject to meeting the relevant  BIS  standards;  allowing  use  of  sugarcane  and  food  grains  (maize  and surplus stocks of rice with Food Corporation of India) for conversion to ethanol;

administered  price  mechanism  for  procurement  of  ethanol  under  the  Ethanol Blended Petrol (EBP) Programme including enhanced ex-mill price of ethanol year on year from ethanol supply year 2017-18; lowered GST rate to 5% on ethanol for EBP Programme; amendment in Industries (Development & Regulation) Act for free  movement  of  ethanol  across  states  for  blending;  interest  subvention  scheme for enhancement and augmentation of ethanol production capacity in the country. The current ethanol production capabilities, State/UT-wise is at Annexure .

(c): The National Policy on Biofuels - 2018 provides an indicative target of 20% blending of ethanol in petrol and 5% blending of Biodiesel in diesel by 2030. The Government has advanced the target of 20% blending of ethanol in petrol to 20252026.

(d)  &  (e):  The  current  status  of  fuel  blending,  State-wise  including  Gujarat  is  at Annexure. The State-wise details of ethanol supplied to Oil Marketing Companies (OMCs) for blending with petrol under EBP Programme during last three Ethanol Supply Years (ESY) (Dec-Nov) 2018-19, 2019-20 and 2020-21and current year is at Annexure.

(f): Goods & Service Tax (GST) on ethanol meant for Ethanol Blended with Petrol (EBP) Programme has been reduced by Government from 18% to 5%.

******

## ANNEXURE REFFERED TO IN REPLY TO PART (a) & (b), (d) and (e) OF LOK SABHA  UNSTARRED  QUESTION  NO.  2578  FOR  17.03.2022  REGARDING ETHANOL PRODUCTION.

2021-22

| SI. No.   | STATE/UT                | Existing Ethanol Production Capacity*   | All figures in Crore Litres ESYwise quantity of ethanol supplied /   | All figures in Crore Litres ESYwise quantity of ethanol supplied /   | All figures in Crore Litres ESYwise quantity of ethanol supplied /   | All figures in Crore Litres ESYwise quantity of ethanol supplied /   |
|-----------|-------------------------|-----------------------------------------|----------------------------------------------------------------------|----------------------------------------------------------------------|----------------------------------------------------------------------|----------------------------------------------------------------------|
| SI. No.   | STATE/UT                | Existing Ethanol Production Capacity*   | 2018-19                                                              | 2019-20                                                              | 2020-21                                                              | 2021-22 (up to 13.03.2022)                                           |
| 1         | Andaman &Nicobar        | 0.0                                     | 0.0                                                                  | 0.0                                                                  | 0.0                                                                  | 0.0                                                                  |
| 2         | Andhra Pradesh          | 47.4                                    | 10.2                                                                 | 5.3                                                                  | 15.4                                                                 | 5.6                                                                  |
| 3         | Bihar                   | 28.7                                    | 6.8                                                                  | 8.4                                                                  | 10.0                                                                 | 5.3                                                                  |
| 4         | Chandigarh              | 0.0                                     | 0.0                                                                  | 0.0                                                                  | 1.3                                                                  | 0.0                                                                  |
| 5         | Chhattisgarh            | 4.8                                     | 3.3                                                                  | 4.7                                                                  | 7.5                                                                  | 2.4                                                                  |
| 6         | Daman& Diu&Nagar Haveli | 0.0                                     | 0.0                                                                  | 0.0                                                                  | 0.4                                                                  | 0.0                                                                  |
| 7         | Delhi                   | 0.0                                     | 8.4                                                                  | 6.7                                                                  | 9.0                                                                  | 3.4                                                                  |
| 8         | Goa                     | 0.0                                     | 1.2                                                                  | 0.8                                                                  | 2.1                                                                  | 0.7                                                                  |
| 9         | Gujarat                 | 15.5                                    | 13.4                                                                 | 12.4                                                                 | 20.8                                                                 | 5.9                                                                  |
| 10        | Haryana                 | 49.8                                    | 12.4                                                                 | 13.1                                                                 | 14.0                                                                 | 5.1                                                                  |
| 11        | Himachal Pradesh        | 2.7                                     | 0.1                                                                  | 1.6                                                                  | 3.4                                                                  | 0.7                                                                  |
| 12        | Jammu &Kashmir          | 0.0                                     | 0.0                                                                  | 0.0                                                                  | 1.6                                                                  | 0.1                                                                  |
| 13        | Jharkhand               | 2.2                                     | 0.1                                                                  | 2.4                                                                  | 4.6                                                                  | 1.3                                                                  |
| 14        | Karnataka               | 102.2                                   | 19.4                                                                 | 18.8                                                                 | 24.4                                                                 | 8.9                                                                  |
| 15        | Kerala                  | 0.0                                     | 0.0                                                                  | 0.0                                                                  | 8.6                                                                  | 6.9                                                                  |
| 16        | Ladakh                  | 0.0                                     | 0.0                                                                  | 0.0                                                                  | 0.0                                                                  | 0.0                                                                  |
| 17        | Madhya Pradesh          | 21.4                                    | 9.3                                                                  | 10.2                                                                 | 16.3                                                                 | 5.1                                                                  |
| 18        | Maharashtra             | 247.2                                   | 29.8                                                                 | 21.9                                                                 | 38.5                                                                 | 13.5                                                                 |
| 19        | Odisha                  | 3.1                                     | 0.0                                                                  | 0.4                                                                  | 4.4                                                                  | 2.8                                                                  |
| 20        | Pondicherry             | 0.0                                     | 0.0                                                                  | 0.0                                                                  | 0.7                                                                  | 0.0                                                                  |
| 21        | Punjab                  | 82.1                                    | 10.4                                                                 | 11.5                                                                 | 12.5                                                                 | 4.6                                                                  |
| 22        | Rajasthan               | 12.0                                    | 4.1                                                                  | 2.7                                                                  | 13.2                                                                 | 5.5                                                                  |
| 23        | Tamilnadu               | 17.4                                    | 7.5                                                                  | 3.5                                                                  | 26.6                                                                 | 10.4                                                                 |
| 24        | Telangana               | 4.8                                     | 8.9                                                                  | 4.7                                                                  | 14.2                                                                 | 5.3                                                                  |
| 25        | Uttar Pradesh           | 175.7                                   | 38.7                                                                 | 40.2                                                                 | 45.3                                                                 | 15.3                                                                 |
| 26        | Uttarakhand             | 5.8                                     | 2.5                                                                  | 2.4                                                                  | 4.0                                                                  | 0.8                                                                  |
| 27        | West Bengal             | 6.1                                     | 2.3                                                                  | 1.4                                                                  | 3.5                                                                  | 2.7                                                                  |
| 28        | Arunachal Pradesh       | 0.0                                     | 0.0                                                                  | 0.0                                                                  | 0.0                                                                  | 0.0                                                                  |
| 29        | Assam                   | 3.6                                     | 0.0                                                                  | 0.0                                                                  | 0.0                                                                  | 0.9                                                                  |
| 30        | Manipur                 | 0.0                                     | 0.0                                                                  | 0.0                                                                  | 0.0                                                                  | 0.0                                                                  |
| 31        | Meghalaya               | 0.0                                     | 0.0                                                                  | 0.0                                                                  | 0.0                                                                  | 0.0                                                                  |
| 32        | Mizoram                 | 0.0                                     | 0.0                                                                  | 0.0                                                                  | 0.0                                                                  | 0.0                                                                  |
| 33        | Nagaland                | 0.0                                     | 0.0                                                                  | 0.0                                                                  | 0.0                                                                  | 0.0                                                                  |
| 34        | Sikkim                  | 2.2                                     | 0.0                                                                  | 0.0                                                                  | 0.0                                                                  | 0.0                                                                  |
| 35        | Tripura                 | 0.0                                     | 0.0                                                                  | 0.0                                                                  | 0.0                                                                  | 0.0                                                                  |