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Ethanol Blending Can Reduce Imports: BPCL

Opportunity India Desk
Opportunity India Desk Aug 10 2022 - 3 min read
Ethanol Blending Can Reduce Imports: BPCL
BPCL is setting up an integrated 2G and 1G Bio Ethanol Refinery at Bargarh, Odisha. The Bio-ethanol Refinery, which will increase the production capacity to about 6 Cr lit per annum of ethanol.

Blending locally produced ethanol with petrol will help country strengthen its energy security and reduce imports among other benefits, Bharat Petroleum Corporation Limited stated on the occasion of World Biofuel Day.

The second largest Indian Oil Marketing Company and one of the premier integrated energy companies in India, has reiterated the strategic importance of biofuels in India. World Biofuel Day is observed every year on August 10 to create awareness about the importance of non-fossil fuels as an alternative to conventional fossil fuels.

Biofuels will assist in Improving Farmers Income, Import Reduction, Employment Generation, Waste to Wealth Creation, cleaner environment, health benefits and others. The existing biodiversity can be put to optimum use by utilising dry lands for generating wealth for the local populous and in turn contribute to the sustainable development.

Speaking on the occasion, PS Ravi, Executive Director, Retail, BPCL said, “BPCL is the coordinator and leader for Ethanol in the industry and we play a big part in contributing to the Ethanol Blended petrol programme of the Government. Achieving energy security and the transitioning to a thriving low carbon economy is critical for a growing nation like India. Blending locally produced ethanol with petrol will help India strengthen its energy security, reduce imports, enable local enterprises and farmers to participate in the energy economy and reduce vehicular emissions amongst many more benefits.”

E20 Programme

The net import of petroleum was 185 MT at a cost of USD 551 billion in 2020-21. Most of the petroleum products are used in transportation. Hence, a successful E20 programme can save the country USD 1 billion per annum.

Ethanol is a less polluting fuel and offers equivalent efficiency’ at a low'-Availability of large arable land, rising production of food grains and sugarcane leading to surpluses, availability of technology to produce ethanol from plant based sources and feasibility of making vehicles compliant to ethanol blended petrol make E20 not only a national imperative, but also an important strategic requirement.

Ethanol Plants To Be Set Up

BPCL along with OMCs has signed 131 LTOAs with project proponents proposing to set up ethanol plants of approx. 757 crore lit per annum capacity in ethanol deficit states. They have also taken initiative to move ethanol from surplus states to deficit states through railway mode and ensure higher blending in deficit states.

BPCL is setting up an integrated 2G and 1G Bio Ethanol Refinery at Bargarh, Odisha. The Bio-ethanol Refinery, which will increase the production capacity to about 6 Cr lit per annum of ethanol. The refinery has a design production capacity of 100 KL per day of 2G Ethanol using Biomass as feedstock and 100 KLPD 1G Bio Ethanol using Rice Grain as feedstock. 

In order to achieve the target of E20 (20 per cent blending by 2025), BPCL is expanding its Ethanol storage facility in all its depots or terminals in a phased manner to cater to the additional requirement on account of 20 per cent blending rollout by 2025.

Bharat Petroleum Corporation Ltd (BPCL)

Fortune Global 500 Company, Bharat Petroleum is the second largest Indian Oil Marketing Company and one of the premier integrated energy companies in India, engaged in refining of crude oil and marketing of petroleum products, with a significant presence in the upstream and downstream sectors of the oil and gas industry.

Its marketing infrastructure includes a network of installations, depots, energy stations, aviation service stations and LPG distributors. Its distribution network comprises over 20,000 Energy Stations, over 6,200 LPG distributorships, 733 Lubes distributorships, and 123 POL storage locations, 54 LPG Bottling Plants, 60 Aviation Service Stations, 4 Lube blending plants and 4 cross-country pipelines.

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