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Shri Nitin Gadkari and Shri Hardeep Puri at CII Bioenergy Summit in New Delhi today
Oct 14, 2024

Research around blending 15% ethanol in diesel is in advanced stages: Shri Nitin Gadkari

India has been revising its blending targets due to forward-looking, responsive policies: Shri Hardeep Singh Puri

Shri Nitin Gadkari, Hon'ble Union Minister for Road Transport and Highways, and Shri Hardeep Singh Puri, Hon’ble Union Minister for Petroleum & Natural Gas, today addressed the 12th CII Bioenergy Summit in New Delhi, today.

 

In his ministerial address, Shri Gadkari said the research around blending 15% ethanol in diesel is in advanced stages, and the government is exploring the prospects around on how to prioritise it based on sound evidence. Ethanol blending in India has surged from 1.53% in 2014 to 15% in 2024, according to government data. Spurred by this progress, the government has set an ambitious target of reaching 20% blending in petrol by 2025.

Progress on building an Ethanol ecosystem—where Ethanol pumps can complement ethanol production and launch of vehicles that can run on ethanol are on fast-track in four states--Karnataka, Tamil Nadu, Uttar Pradesh, Maharashtra, indicated the minister. “IndianOil has decided to put 400 ethanol pump stations. We are holding a meeting with stakeholders on this soon. We are meeting automakers as well including Suzuki, Tata, and Toyota. These automakers have decided to launch flex-engine cars. Other vehicle-makers like TVS, Bajaj, Honda are ready with ethanol bikes and are waiting for the Ethanol pumps to come to launch their bikes. They are waiting for ethanol pumps to launch their bikes. I am focusing on encouraging increase in ethanol production in these four states where pumps have been announced-- Karnataka, Tamil Nadu, Uttar Pradesh, Maharashtra,” noted Shri Gadkari.

Urging the industry to focus research on most efficient sources of biomass- as well as efficient transportation of those biomass at economical cost, Shri Gadkari said “We know how much of problem Parali burning (Stubble Burning) is in Punjab and Haryana and how it leads to air-pollution in neighbouring areas including Delhi. Indian Oil has started a plant in Panipat to solve part of that problem by using it as biomass. We are able to use a fifth of the stubble at present but if we plan properly, over the next few years—we can solve the seasonal air-pollution problem emanating out of stubble”. The Central Road Research Institute (CRRI) is doing research on how producing bio-bitumen can reduce our Bitumen imports, the minister added.

At a time when parts of the world are at war with themselves, and geopolitical uncertainties plague, India's annual fossil fuel import bill at Rs 22 lakh crore doesn’t augur well, the minister said. He said it was important to leverage biofuel for self-reliance in fuels, boost agricultural economy, making our farmers prosperity.

“If we can truly and fully realise the value of biofuel sector, and integrate the agricultural economy fully in it, the contribution of agricultural sector in our GDP can finally grow from existing 14-15% to cross 20%. Our farmers will grow beyond Annadata (food-giver) to Urjadata (energy-giver) to Indhandata (fuel-giver) to Hydrogendata (Hydrogen-giver)” said Shri Gadkari.

Addressing the summit themed “Fuelling the Future - Securing India’s Green Growth Goals”, Shri Hardeep Singh Puri, Hon'ble Minister for Petroleum & Natural Gas, Government of India, said India has been revising its blending targets due to forward-looking, responsive policies, which have enabled the industry to surpass its previous target of 10% blending five months ahead of schedule.

Shri Puri expressed confidence that “India will achieve its 20% ethanol blending target well before the revised deadline.” Originally set for 2030, the deadline has now been moved to October 2025, following which a roadmap will be developed to outline the sector’s outlook. Shri Puri also noted that the Indian energy market faces a "trilemma of availability, affordability, and sustainability." However, with strong market forces driving food-stock prices, blending will remain a more viable option. “Today, India has clearly demonstrated the ability to bring the cost per unit of clean solar energy down drastically. Every electrolyser manufacturer in the world today is participating in India, not just because we offer a PLI but also because there is some inherent advantage in green hydrogen story in India,” the minister added.

His Excellency Mr Kenneth Felix Haczynski da Nobrega, Ambassador of the Federative Republic of Brazil in India, also addressed the conference. His Excellency underscored the shared challenges faced by India and Brazil due to climate change, which has led to frequent weather anomalies such as floods, affecting food security in both nations.

Echoing the Minister’s remarks, the ambassador mentioned that the Global Biofuels Alliance has called for an inclusive energy transition during its G20 ministerial meetings in Brazil. This outcome has significant implications for G20 countries, including the goal to triple renewable energy capacity and double the average annual growth rate by 2030.

Speaking earlier in the day, Shri Sanjeev Chopra, secretary, Department of Food & Public Distribution, said there was no point in burning fuel for supplying fuel. “Through supply chain or route optimisation using PM Gati Shakti, we have made upwards of Rs 250 crore per annum savings in grains. Similar thing we are doing in ethanol,” he said. For 20% blending next year, we need 1700 crore litre ethanol capacity. Of this 1650 litre crore capacity has been created. 20% blending is imminently feasible, he added.

India's progress in ethanol blending has astonished global platforms, as we rapidly move towards achieving 20% blending by next year, from just 1.5% in 2013-14. As of September 2024, we’ve reached a remarkable 15% blending. This achievement is a testament to our evolving bioenergy sector and our optimization of supply chains, leveraging the PM Gati Shakti scheme. As states like MP, Bihar, Maharashtra, and UP become self-sufficient, we continue to provide a conducive ecosystem, emphasizing feedstock diversification while prioritizing human consumption, said Shri Chopra.

In his address, Mr Sanjeev Puri, President, CII, and Chairman & Managing Director of ITC Ltd, said, “The accelerated momentum in the biofuel sector is not only enabling sustainable growth, but also inclusive growth creating opportunities in agricultural value chains, entrepreneurial ventures in rural India among many others. The economic multipliers generated through the biofuel initiatives are tremendous and this social transformation it promises is unprecedented.”

Mr Tarun Sawhney, Co-chairman, CII Committee on Bioenergy, and Vice-chairman, Triveni Engineering, “I hope the discussion in the next year are not just about E20, but about what’s next -- E85, E100 and perhaps even raising the base blend of E20 to higher levels,” he said.

Mr Shishir Joshipura Co-Chairman, CII Committee on Bioenergy and CEO & Managing Director, Praj Industries Limited, said, “Biofuels have arrived as the fuel of future. Ethanol was an end product, now it has become a starting point for many products.” He added ethanol can be used for sustainable aviation fuel, bio-polymers among others.

Mr Salil Gupte, Chairman, CII Committee on Aerospace and President, Boeing India, said, “India is leading the world in developing real-time analytics and operational technologies that enhance flight efficiency and reduce fuel burn.” Sustainable Aviation Fuel (SAF) is projected to contribute 50-65% of the decarbonization needed for aviation to meet its net-zero goal by 2050, making it a critical focus, he added.

 

14 October 2024

New Delhi

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