Issues related to Ethanol Production in India
- One of the main biofuels, it is created spontaneously when yeasts ferment carbohydrates or through petrochemical reactions like ethylene hydration.
- Ethanol is regarded as renewable fuel since it is derived from plants.
- High starch crops like sugarcane, maize, wheat, etc. can be used to make ethanol.
- In India, the fermentation of sugarcane molasses is the primary method used to make ethanol.
Blending Ethanol:
- A motor fuel combined only with petrol that contains at least 99% pure ethyl alcohol obtained from agricultural products is known as an ethanol blend.
Blending Objective:
- India has moved forward the deadline for mixing 20% ethanol (commonly known as E20) into petrol from 2030 to 2025.
- As of March 2022, India had attained 45% ethanol blending.
- In India, 5% of ethanol is now mixed with petrol.
The purpose of blending ethanol is to:
- Effect on Emissions: Fuel combined with ethanol reduces emissions of nitrogen oxides (NOx), hydrocarbons (HC), and carbon monoxide (CO).
Energy Safety:
- A greater ethanol consumption will lessen reliance on imported oil. As of 2020–21, the current net import cost is $551 billion USD.
- The nation can save USD 4 billion (Rs 30,000 crore) annually with the help of the E20 programme.
It could encourage farmers to:
- Oil corporations buy ethanol from farmers, which helps the growers of sugarcane.
- The intends to promote the manufacture of ethanol from non-food feedstock and water-saving crops, especially maize, in areas with limited water resources.
- India is the country with the third-largest global demand for products and crude.
- According to estimations from the International Energy Agency (IEA), biomass accounted for up to 20% of our total primary energy supply, with households using the majority of it.
Actions made to stop relying on imported crude oil:
- In 2003, India started a scheme for mixing ethanol.
- India’s blending programme reached a major milestone in 2022 when petrol was blended with 10% ethanol.
Demand for energy and ethanol:
- In 2022, approximately 430 crore litres of ethanol were delivered by ethanol producers.
- By 2025, India’s ethanol consumption is expected to rise to about 1,100 crore litres due to the need for 20% blending.
- Investments and the capacity to supply—and divert—the feedstock required for the nation’s ethanol output will be needed.
- Because they meet people’s requirements for mobility, two-wheelers account for over 60% of our petrol use.
- Four-wheelers account for 40% of demand, and this percentage is projected to rise.
- A study conducted by the Council on Energy, Environment, and Water on urban India found that almost half of the participants felt that owning a four-wheeler was both necessary and desirable.
- According to the NITI Aayog research, the demand for petrol will increase by more than 45% by 2030 as opposed to 2021.
India’s ethanol supply for the blended programme:
- First-generation production: this method uses the underlying sugars found in food crops, namely grain (16%) and sugarcane (84%).
- There are a lot of second-generation (2G) technologies available for producing ethanol.
Proactive Measures:
National Biofuels Policy 2018:
- It offers a target indicative of blending 20% ethanol by 2030 through the Ethanol Blended Petrol (EBP) Programme.
- To allow for the extension of suitable financial and fiscal incentives under each category, biofuels are categorised as “Advanced Biofuels” which include Third Generation (3G) biofuels, bio-CNG, and Municipal Solid Waste (MSW) to drop-in fuels, as well as First Generation (1G) bio-ethanol and biodiesel.
- With the National Biofuel Coordination Committee’s approval, it permits the use of excess food grains to produce ethanol for fuel blends.
- It suggests a Rs. 5,000 crore six-year viability gap funding plan for 2G ethanol biorefineries, together with more tax breaks and a higher purchasing price than 1G biofuels.
Pilot project E100:
- Started operations in Pune.
- TVS Apache two-wheelers can run on pure ethanol (E100) or E80.
The Way Ahead:
- Now that India is hosting the G20, the Global Biofuel Alliance has to transform this fuel into a form that can supply clean bioenergy to a variety of end uses, enhance energy security, and maximise public spending.
- The earliest possible implementation of the food-energy-water nexus and first-generation production supremacy is required.
- Through guaranteed procurement, ethanol provides the farming sector with a new source of revenue.
- Before increasing the production of ethanol, India must do a thorough analysis of these trade-offs and establish a precise plan for the research and development of 2G technologies.
- The main goals of policy should be to address private gasoline demand and reduce the nation’s overall petrol use, even as we diversify our fuel sources.
- The shift to greater amounts of biofuels might be made easier by taxing the usage of private vehicles in cities and promoting EVs specifically in public transportation.
