Business

PSU oil companies announce Rs 6.87/litre incentive for ethanol production

Public sector oil marketing companies have announced a reward of Rs 6.87 per litre for producing ethanol from C-heavy molasses. A useful strategy for advancing a green economy is to use C-molasses, a byproduct of sugar factories, to produce ethanol. According to the oil companies, this incentive would increase the amount of ethanol produced via the C molasses route and enhance ethanol availability in general for the ethanol blended gasoline program.

“Ensuring farmers’ prosperity, saving precious foreign exchange and driving sustainability! Rs 6.87/litre incentive for ethanol from C molasses by Public Sector OMCs bolsters GreenEconomy and also further strengthens the foundation for a cleaner and more eco-friendly future with EthanolBlendedPetrolProgramme under the visionary leadership of PM Sh Narendra Modi ji,” Union Petroleum Minister Hardeep Puri said in a tweet.
The Food Ministry in early December directed sugar mills not to use cane juice or syrup to produce ethanol.
The central government in mid-December allowed utilisation of juice as well as B-heavy molasses to produce the ethanol but capped the diversion of sugar at 17 lakh tonnes for the current marketing season.

Sagarika Gautam

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