Nayara Invests ₹600 Crore in Ethanol Production

Nayara Energy Ltd, supported by Rosneft, is investing ₹600 crore to build two ethanol plants in Andhra Pradesh and Madhya Pradesh. Each plant will produce 200 kilolitres of ethanol per day.

This investment aligns with the Indian government’s goal to blend more ethanol into petrol by 2025. Nayara Energy says this will help them integrate their operations from refining oil to selling fuel. They have already acquired land for the new plants in both states.

“Ethanol facilities will improve our supply and help meet the government’s target of 20% ethanol blending by the end of fiscal year 2025-2026,” said Alessandro des Dorides, CEO of Nayara Energy.

Commitment to Sustainability

“This move shows our commitment to sustainability, following regulations, and long-term growth in the energy sector. By expanding into ethanol, we aim to support India’s renewable energy goals and create a greener future,” he added.

Nayara plans to build five ethanol production plants in total, producing 1,000 kilolitres per day. As a significant player in the downstream sector, contributing 8% of India’s refining output, Nayara Energy plays a crucial role in India’s energy security.

The government aims to have 20% ethanol-blended petrol at all fuel pumps in India by 2025. Currently, petrol pumps sell 10% ethanol-blended petrol. This initiative is meant to reduce reliance on imported crude oil and lower pollution.

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