India’s Cabinet Committee on Economic Affairs (CCEA) passed a proposal on 13 November to set up a new mechanism to revise ethanol prices to help public sector oil marketing companies (OMCs) blend ethanol with petrol, reports Business Standard.
New mechanism to help oil marketing companies blend ethanol with petrol
“Through this, the prices of ethanol for blending will be cut to Rs39/litre, excluding taxes, from 1 December” from Rs48.50-49.50/litre.
According to a Webindia123 report on 27 October, OMCs should be able to blend 1.1bn litres of domestically-produced ethanol to comply with the country’s E5 blending mandate in the 2016-17 supply year, a record high.
The report said that only about 200,000 litres was blended between 2006-2013, but this had risen to 674,000 litres in 2014-15, and over 1bn litres in 2015-16.