Question : NATIONAL POLICY ON BIO-FUEL



(a) whether the Government proposes to formulate a National Policy on Bio- fuel;

(b) if so, the details thereof; and

(c) the time by which it is likely to be formulated?

Answer given by the minister

MINISTER OF PETROLEUM & NATURAL GAS & PANCHAYATI RAJ (SHRI MANI SHANKAR AIYAR)

(a)to (c) After the success of the Pilot Projects on blending 5% ethanol in petrol, in the year 2001, the Government implemented the 5% ethanol-blended petrol programme in notified sugar producing states/adjoining states and union territories. According to the parameters of the programme, with effect from 27.10.2004, if the price at which ethanol is offered for the programme is comparable to the price of ethanol for alternative uses, and is comparable to the delivery price of petrol at the notified locations, and if the supply of ethanol can be maintained at such prices, supply of 5% ethanol-blended-petrol in notified areas is mandatory.

For promotion of bio-diesel, the Planning Commission had set up a Committee on Development of Bio-fuel which recommended the launching of a National Mission on Bio-diesel with a special focus on the plantation of Jatropha curcas. The Ministry of Rural Development has been made the nodal Ministry for the National Mission on Bio-diesel and that Ministry has recently got a Detailed Project Report prepared by The Energy and Research Institute (TERI).