Friday, 25 October 2024

India's bioethanol policy aims to reduce petroleum imports by increasing domestic biofuel production. The policy includes:

 India's bioethanol policy aims to reduce petroleum imports by increasing domestic biofuel production. The policy includes: 

Blending targets: The 2022 amendment to the National Policy on Biofuels (NPB) advanced the target of 20% ethanol blending in petrol from 2030 to 2025-26. 

Feedstocks: The policy allows more feedstocks to be used to produce biofuels. 

Ethanol production: The policy encourages the production of ethanol from non-food sources like agricultural waste, cellulosic biomass, and waste paper. 

Ethanol pricing: The policy includes guaranteed pricing for ethanol. 

Ethanol contracts: The policy includes long-term contracts for ethanol. 

Ethanol taxes: The policy includes lower taxes on E10 and E20 blends than on unblended petrol. 

Ethanol distilleries: The policy includes financial assistance and streamlined bureaucratic processes for setting up new ethanol distilleries and modernizing existing ones. 

 

Vehicles: The policy includes tax benefits and other incentives for manufacturers and buyers of vehicles compatible with higher ethanol blends. 

 

The policy also includes technical standards and codes, and responsibilities for 11 ministries to coordinate government actions

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