India Nears 15% Ethanol Blend in Diesel, Says Minister Nitin Gadkari; Pushes for Biofuel Production

Road Transport Minister Nitin Gadkari announced that research on blending 15% ethanol into diesel is in advanced stages. He emphasized that the government is looking into how to prioritize this initiative based on solid research evidence. Gadkari also encouraged the industry to ramp up large-scale production of biofuels from biomass as a key step toward making India more energy-independent.

Speaking at the Confederation of Indian Industry’s (CII) Bio Energy Summit 2024, Gadkari noted that ethanol blending in India has significantly increased, from just 1.53% in 2014 to 15% in 2024. Encouraged by this progress, the government has set an ambitious goal of achieving 20% ethanol blending in petrol by 2025.

Gadkari pointed out that the development of an ethanol ecosystem is moving quickly, with plans for ethanol pumps and vehicles that can run on ethanol progressing rapidly in four key states: Karnataka, Tamil Nadu, Uttar Pradesh, and Maharashtra. He highlighted that Indian Oil has committed to setting up 400 ethanol pump stations. “We are in discussions with automakers, including Maruti Suzuki, Tata Motors, and Toyota Motors. These automakers have decided to launch flex-engine cars that can run on ethanol,” Gadkari said. He added that two-wheeler manufacturers like TVS Motors, Bajaj Auto, and Honda are also prepared to launch ethanol-powered bikes, but are waiting for ethanol pumps to be set up before making their models available.

Gadkari stressed the economic benefits of expanding ethanol use in India. He explained that India’s fossil fuel economy currently stands at ₹22 lakh crore, while the biofuel economy is only ₹2 lakh crore. “There is immense potential for growth, and it’s a win-win situation for everyone involved,” Gadkari said.

He also noted the importance of reducing dependence on fossil fuels, especially given the current global geopolitical uncertainties and conflicts. With India’s annual fossil fuel import bill at ₹22 lakh crore, increasing biofuel production could significantly reduce the country’s reliance on costly fossil fuel imports.