MINISTER OF STATE (INDEPENDENT CHARGE) FOR CONSUMER AFFAIRS,
FOOD & PUBLIC DISTRIBUTION (PROF. K.V. THOMAS)
(a) The details of the total annual ethanol requirement for fulfilling the
five per cent Ethanol Blended Petrol (EBP) programme and its supply during the
last three years are as under:
Period Requirement Contracted Supplied quantity of Ethanol quantity of ethanol (Crore Litres) of ethanol (Crore Litres) (Crore Litres)
2009-10 83.8 35.29 6.32
2010-11 105.1 55.87 36.19
2011-12 101.7 41.89 13.15(till 15.4.2012)
(b): As per the Government decision, Oil Marketing Companies(OMCs) have to
procure the entire quantity of Ethanol made available by domestic suppliers
for the EBP Programme at the ex-factory declared price decided by the Government.
However, due to lack of offers of ethanol against EOI (Expression of Interest)
and restrictions imposed by some State Governments on Inter-State movement of
Ethanol etc., OMCs have not been able to get the required quantity of Ethanol
for implementation of 5% EBP Programme.
(c): As per trade sources sugar mills are getting a higher price from alcohol
producers for Extra Neutral Alcohol (ENA). Trade sources claim that it is not
affecting the supply of ethanol by the mills. However, higher price for Extra
Neutral Alcohol could be a factor affecting the supply of ethanol by the mills
for blending.
(d): During the sugar year 2010-11 (from 01.11.2010 to 30.09.2011), against
the requirement of 105 crore litres of Ethanol in the entire notified area i.e.
20 States and 4 UTs, 55.87 crore litres was contracted and 36.19 crore litres
was actually procured for EBP Programme. Due to non-availability of required
quantity and restrictions imposed by the State Governments, supplies of ethanol
have faced shortfall.
(e): The Oil Marketing Companies are presently procuring bio-ethanol for Ethanol
Blended Petrol Programme at an ad-hoc ex-factory price of Rs.27 per litre since
November 2010. This price was subject to adjustment on the basis of the
recommendations of an Expert Committee for Pricing of Ethanol. The report of
the Expert Committee is presently under consideration.
