Talks on road map for more than 20% ethanol blending in petrol underway: Hardeep Singh Puri

New Delhi: Union minister for petroleum and natural gas Hardeep Singh Puri said on Tuesday that the government has started discussions on a road map for ethanol blending in petrol beyond 20%.

Addressing the 7th Global Sustainable Technology and Innovation Community Conference in Delhi, Puri said ethanol blending in petrol currently stands at 16%. Under the ethanol blended petrol (EBP) programme, the government aims to blend up to 20% ethanol in petrol sold across the country by 2025 to lower its dependence on crude oil imports.

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In an official statement, the minister noted that “significant” progress has been made on ethanol blending, which has increased from 1.53% in 2013-14 to 16% as of today.

Puri also highlighted the need to address the energy requirements of developing nations, particularly in the Global South, where many countries rely on imports for their energy needs. Describing India’s ethanol initiatives as a "success", he said they could serve as a model for these regions. He acknowledged, however, that unlike Brazil, India lacks the luxury of abundant arable land for biofuel production. Nevertheless, he said, innovative biofuel strategies have the potential to reduce dependence on imports while addressing local energy needs.

‘No shortage of oil'

Speaking on the sidelines of the event, Puri said global oil prices may drop since there is no shortage of the fossil fuel. "I think [oil prices] should come down. It depends on global factors. One thing is very clear that there is no shortage of oil in the world. They were producing some 102 million barrels per day earlier, then some voluntary cuts took place. 

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"Today more is coming in the market. I think Brazil has 400,000 b/d coming in addition to the 3.3 mb/d it produces. I heard about one very big country which produces 13 mb/d and which is now going through a celebration of democracy. They may also bring more oil to the market. Then there's Guyana… other countries are coming [as well]. So, there is no shortage of oil in the world," he said.

Oil prices have been volatile amid the ongoing conflicts in West Asia and concerns of weak demand in China. At the time of writing this, the December contract of Brent crude on the Intercontinental Exchange (ICE) was trading at $75.24 a barrel, up 1.28% from its previous close.

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