(a) whether the Government has reviewed ethanol pricing policy
and its implementation;
(b) if so, the details thereof;
(c) whether the Government has also received any representation
regarding its ethanol policy; and
(d) if so, the details thereof and the response of the Government thereto?
MINISTER of STATE for PETROLEUM & NATURAL GAS (SHRI R.P. N. SINGH)
(a) & (b) In its meeting held on 20.01.2012, National Bio-fuel
Steering Committee (NBSC), under the chairmanship of Cabinet Secretary,
has accepted the pricing formula suggested by the Expert Committee,
constituted under the chairmanship of Dr. Saumitra Chaudhury, Member,
Planning Commission, for proposing the formula/ principles of pricing
of ethanol. The matter is under consideration of the National Bio-fuel
Coordination Committee (NBCC) for a decision.
(c) & (d) Various industrial associations dealing with alcohol/
ethanol have been making representations towards implementation of
Ethanol Blended Petrol (EBP) Programme. Ethanol Manufacturers
Association of India (EMAI) is optimistic about the availability
of required quantity of ethanol for 5% of EBP Programme. However,
EMAI has demanded for increase in the basic price of ethanol, as
members of EMAI have been supplying ethanol to OMCs at a loss of
Rs.4.00 to Rs.5.00/litre on ethanol production cost.
Indian Chemical Council (ICC) has pointed out that with
blending of ethanol in EBP Programme, there would be a shortage
of ethanol in the country which will have a direct negative
impact on Chemical Industry as ethanol is the principal raw
material.
While the pricing issue is being considered by NBSC
and NBCC, the EBP Programme is being implemented by OMCs in
pursuance of the Government decision dated 16.8.2010.