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India’s Ethanol production capacity expanded nearly fivefold over last decade

The Government of India said the Ethanol Blended Petrol (EBP) Programme reached 20% ethanol blending in 2025-26, five years ahead of target. Ethanol procurement exceeded 1,200 crore litres, production capacity expanded to 2,000 crore litres, and the programme helped reduce crude oil imports while strengthening energy security.

Government stated in a latest update yesterday that Ethanol Blended Petrol (EBP) Programme has emerged as a key pillar of India’s energy transition and biofuel strategy. It aims to improve energy security, support farmers, and reduce environmental impacts. The programme also promotes greater use of domestically produced renewable fuel.

Under the EBP Programme, ethanol blending has increased from less than 1.5 percent in 2013-14 to 20 percent in 2025-26. India achieved the 20 percent blending target five years ahead of schedule.

Ethanol procurement rose from about 38 crore litres in Ethanol Supply Year (ESY) 2013-14 to over 1,200 crore litres (projected) in 2025-26. Production capacity expanded nearly fivefold from 421 crore litres in 2014 to about 2,000 crore litres in 2026. This expansion has reduced crude oil imports and saved valuable foreign exchange.

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Source : Business Standard

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