New Delhi: The government on Wednesday raised the price of ethanol extracted from sugar cane to combine gasoline to rs 1.47 per liter for the marketing year 2021-22 starting in December, as part of its target to reach 2025.
Higher mixing of ethanol in gasoline will help cut The oil import bill and also benefit sugar cane farmers and sugar factories.
The Cabinet Committee in Economic Affairs (CCEA), led by Prime Minister Narendra Modi, raised the price of ethanol extracted from sugar cane juice to Rs 63.45 per liter from RS 62.65 currently per liter for supply years from December 2021.
Levels for ethanol From molasses-c-weight has increased to Rs 46.66 per liter from RS 45.69 per liter today, and ethanol from B-weight to Rs 59.08 per liter from RS 57.61 per liter, Minister of Information and Broadcasting Anurag Thakur said to the media briefing.
Oil marketing company (OMC) bought ethanol at a price determined by the government.
Thakur said the mixing of ethanol with gasoline had touched 8 percent in the marketing year 2020-21 (December-November) and is expected to reach 10 percent next year.
India has a plan to increase the mixture up to 20 percent by 2025.