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Special Report                                                                                                                                                                   Special Report



       Time for a pause on ethanol blending in gasoline                                                              guzzling crops. Making alcohol from  burned only to add to air pollution) will  (ICC) should also deliberate this issue
                                                                                                                                                                                         urgently.
                                                                                                                     rice should be banned. There are other  generate more income to farmers.
                                                                                                                     uses of damaged rice, which is unfi t for
            he India Bio-Energy &  Tech  from ‘damaged’ rice; and Rs. 6.87 per   A.K. DAS                            human consumption (like in poultry   Simultaneously,  introduction of   Till such time, ethanol blending in
            Expo 2024 (IBETE) was held  litre for ethanol from molasses. These   Retd. Industrial Adviser            feed). Even the global charity, Oxfam,  hydrogen in transport sector should be  gasoline beyond the level of 15% may
       Tin New Delhi  from September  incentives have boosted ethanol output,   Department of Chemicals & Petro-     has called for an end to EU incentives  given priority, as well as use of electric  be held in abeyance.
       2-4, 2024. At the inaugural session, the  the Minister said, adding that maize’s   chemicals, Government of India  for crop-based biofuels. It is argued that  vehicles.
       Union Minister for Petroleum & Natural  contribution to ethanol production has   Email: amiyakantidas2010@gmail.com  despite caps introduced in recent years,                     REFERENCES
       Gas presented  a detailed  account of  been raised to 36% in 2023-24 ethanol                                  the EU continues to drive demand for  Concluding remarks
       India’s progress in the bioenergy sector  supply  year (ESY),  beginning from   According to  AIPBA,  last year   food crops and land to be diverted into   Achievement of blending up to  1.  https://pib.gov.in/PressRelese
       and its critical  role in the country’s  November, from nil in ESY 2021-22.  about 3.5-mt of corn was consumed   fuel production.  The continued  reli-  15% ethanol is a success story indeed.   Detail.aspx?PRID=2050907
       energy  transformation. The  Minister  Additionally, he stated, supply of rice from  to produce 1.3-bn litres of ethanol – a   ance  on crop-based biofuels to meet  But considering the pitfalls of the  2.  https://www.reuters.com/markets/
       emphasised  that bioenergy is increas-  the Food Corporation of India (FCI) to  four-fold rise over the  previous year.   the European target for greenhouse gas  scheme, so far experienced, blending   commodities/ethanol-push-turns-
       ingly becoming a crucial alternative to  ethanol distillers has resumed, allowing  The association anticipates  that not   reductions is exacerbating global food  beyond 15% within 2025 itself needs   india-into-corn-importer-shaking-
       fossil fuels, offering both environmental  the purchase of up to 2.3-mt during  more than 5-bn  litres of  ethanol can   insecurity and price volatility, the cha-  thorough deliberation and scrutiny. It   up-global-market-2024-09-04/
       benefi ts  and  economic  opportunities,  Aug-Oct 2024 through e-action. Starting  come from sugarcane. So there appears   rity has argued. It has also called for an  was  not  clarifi ed  in  Ministers  speech  3.  https://www.euronews.com/
       particularly in rural areas. The Minister  from November 2024 (beginning of  to be a need for 3-bn litres of ethanol   end to political incentives by the end of  where from the increased quantity of   green/2024/09/13/global-charity-
       also elaborated on the Government’s  ESY 2024-25), the supply of sugar cane  to come from corn, which will require   decade(3).                 ethanol will come. Time has come for   calls-for-end-to-eu-incentives-for-
       strategic efforts to advance the bioenergy  juice and syrup to ethanol distillers will  8-mt corn, forcing imports(2).                          the Ministry of Petroleum & Natural   crop-based-biofuels
       sector,  highlighting  its  signifi cance  in  also commence(1).                                               2G alcohol from lignocellulosic   Gas to make a critical review of results
       reducing import dependence, saving                                 Loud thoughts                              biomass                           of bending with experts from multiple      ABOUT THE AUTHOR
       foreign exchange  and  promoting a  The other side of the narrative   There used to be a highly effi cient        Oil PSUs had planned the setting up  disciplines including chemists, physi-  Mr. Amiya  Kanti
       circular economy.                   Now some narrative about the other  alcohol-based chemical industry  in   of 12 units to manufacture 2G alcohol  cist, social scientists, economists,   Das (born 1939) is
                                         side of the blending programme.  the country covering a large number        from lignocellulosic  biomass (agri-  planners etc.  The study should look   a B.Sc (Hons.) and
          He mentioned the success of India’s                             of  chemicals since  early 1960’s.  This   cultural  wastes like  straw, corn stalk,  beyond the analysis of carbon foot-  M.Sc  in Chemistry
       ethanol blending programme. It started   A push by India to make more corn-  industry slowly disappeared  from   etc.) across the country with a fi nancial  print and crude import cuts, and con-  from  Calcutta Uni-
       with 1.53% blending level in gasoline in  based ethanol has turned Asia’s top corn  country’s industrial  map after  ethanol   outlay of Rs.  1,969.50-crore for the  sider all economic and social aspect   versity. Widely travel-
       2014 and rose to 15% in 2024. Encour-  exporter into a net importer for the fi rst  blending picked up. Only a few units   period  2018-19 to  2023-24. As stated  relevant in an Indian context.  led in Europe and
       aged by this progress, the Government  time in decades, squeezing, local poul-  could sustain. All round efforts should   earlier, only two – one each at Panipat                  India, he was a regular contributor
       has set an ambitious target of reaching  try producers and affecting global sup-  be made to revive this industry, and the   (Haryana) and at Numaligarh ( Assam) –   In quantifying the cost benefi t vis-  in chemical journals during 80’s
       20% blending by 2025. This initiative  ply chains. The jump in imports comes  products may  be marketed  as ‘green   have come to production.  The imple-  à-vis reduction in value of imports,   and 90’s and is profi cient in German
       has  delivered  signifi cant  benefi ts,  it  after India hiked the procurement price  chemicals.’              mentation of other units should be given  the opportunity cost should be kept   and Russian. Before superannua-
       was stated, which includes  saving of  of ethanol made of corn to drive a shift                               top priority to augment the supply of  in mind. This is the value or benefi ts   tion on May 31, 1997 from the post
       Rs. 99,104-crore in foreign exchange,  away from sugar-cane based ethanol   As stated by the Minister, 2.3-mt   ethanol meant for blending. More such  otherwise lost by selecting the blend-  of Industrial Advisor in the Dept. of
       reducing carbon dioxide (CO ) emissions  for blending in gasoline.  of rice is going to be released by        plants should be planned on immediate  ing process.  Thinktanks including Niti   Chemicals and Petrochemicals,  he
                             2
       by 51.9-mt and substituting  17.3-mt                               FCI for making of ethanol for burn-        basis as there is no dearth of agricultural  Aayog,  The Energy Resources Insti-  dealt with  diverse  chemical indus-
       of crude oil. Under this programme,   India usually exports 2-mt to 4-mt of  ing in blends.  This quantity of rice   wastes across the country. More use  tute (TERI), and industry associations   tries for three decades.
       the Oil Marketing Companies (OMCs)  corn, but in 2024 exports are expected  could satisfy the hunger of a sizeable   of agricultural  residue (which is now  such as the Indian Chemical Council
       disbursed Rs. 1,45,930-crore to distil-  to drop to 0.45-mt, while the country  section of the poor.  When the idea
       lers and Rs. 87,558-crore to farmers.  is set to import a record 1-mt, mainly  of ethanol blending was conceived,   Chemical Weekly | Import-Export Data | Market Surveys
                                         from Myanmar and Ukraine. Tradition-  it was never an idea of making this
          The Minister mentioned that two  ally, the poultry  and starch  industry  from rice.  To give cash incentive/            Directories | Business Forums | Expositions
       second-generation (2G) refi neries have  absorb around 3.6-mt – most of India’s  subsidy for public distribution or
       been established in Panipat (Haryana)  corn produced.  After ethanol  produc-  agricultural inputs, grant-in-aid to      The only organisation in India catering exclusively to the needs of the entire chemical industry
       and Numaligarh (Assam) to convert  tion started from corn last year, there  farmers can be justified, but cash
       agricultural  residues like straw and  was a shortfall of 5-mt as per All India  incentive for a product made from                                          Contact:
       bamboo into ethanol.  The Minister  Poultry Breeders Association (AIPBA).  food grains meant for burning lacks                            SEVAK PUBLICATIONS PVT. LTD.
       recalled the various incentives for  Now poultry feed and starch Industries  strong logic.                                                   602-B, Godrej Coliseum, K.J. Somaiya Hospital Road,
       ethanol  production. These  include:  are battling with distillers to get their                                                               Behind Everard Nagar, Sion (E), Mumbai 400 022.
       Rs. 9.72 per litre for ethanol  derived  share of raw material, and this battle is   It is pertinent to remember that rice                           Phone: +91-22-24044471 / 72;
       from maize; Rs. 8.46 per litre for ethanol  pushing the corn price high.  (paddy) is one of the highest water-                                    Email: admin@chemicalweekly.com


       188                                                                   Chemical Weekly  October 22, 2024       Chemical Weekly  October 22, 2024                                                               189


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