Ethanol Blending Shielded Consumers from High Petrol Prices: Govt
UPSC / SSC current affairs note · Economy
Why in news
The petroleum ministry stated that ethanol blending prevented petrol from costing Rs 125 per litre in Delhi during the crude price spike. This highlights the government's strategy to use ethanol blending for energy security and import cost reduction.
Background
Ethanol blending in petrol is part of India's Ethanol Blended Petrol (EBP) Programme, which aims to reduce oil imports and promote cleaner fuel. The government has been increasing blending targets over the years.
Key facts
Without ethanol blending, petrol would have cost Rs 125 per litre in Delhi during the crude price spike.
The purpose of ethanol blending is to shield consumers from global oil price volatility.
Ethanol blending enhances energy security.
Ethanol blending reduces the outflow of money on fuel imports.
The statement was made by the petroleum ministry.
The government clarified that ethanol blending is not meant to make fuel the cheapest option daily.
Prelims pointers
- Ethanol Blended Petrol (EBP) Programme
- National Policy on Biofuels
- Ministry of Petroleum and Natural Gas
- Ethanol blending target: 20% by 2025-26 (as per National Biofuel Policy 2018)
- Ethanol is derived from sugarcane, maize, and other biomass.
Mains angles
- Discuss the role of ethanol blending in India's energy security and import reduction.
- Critically examine the economic and environmental implications of ethanol blending.
- Evaluate the government's policy on biofuels in achieving sustainable development.