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Bioethanol Emerges as a Clean, Cost-Effective Alternative to Gasoline, LPG

The PHD Chamber of Commerce and Industry's International Climate Summit will discuss bioethanol's role in energy security, decarbonization, and its benefits for India’s economy and environment.

KJ Staff
Bioethanol Plant (Representational Photo: Pexels)
Bioethanol Plant (Representational Photo: Pexels)

Bioethanol has emerged as a promising alternative to gasoline and LPG. It is renewable, clean, and cost-effective, presenting an important pathway for energy security and decarbonisation. Doping ethanol with petrol supplies extra oxygen for complete combustion, reducing carbon monoxide levels in auto emissions and interfaces. To discuss the salient features of bioethanol, leading trade body PHD Chamber of Commerce and Industry has organised a day-long International Climate Summit in New Delhi on July 19, senior officials of PHDCCI said.

They said ethanol has an octane rating of 115, burning cleanly in automobile engines with fewer particulate emissions. 2G-ethanol will play an important role in replacing gasoline and will provide energy security to our country. Additionally, replacing LPG with ethanol for cooking will be a revolution in itself. Using LPG for cooking poses risks due to single fuel dependency. Ethanol offers additional advantage over the logistics of using heavy LPG cylinders, with a reduction in the substantive costs associated with maintaining complex infrastructure for LPG.

In view of this, bioethanol emerges as a competing renewable fuel. In nearly a decade, India’s ethanol blending initiative has yielded impressive results. This has resulted in significant savings in foreign exchange amounting to Rs. 78,118 crores, alongside a substantial reduction in CO2 emissions totalling 426 lakh MT.

Moreover, these efforts have successfully substituted 142 lakh MT of crude oil during the same period, contributing to energy security and sustainability. Equally noteworthy is the substantial support provided to farmers. Biofuel demand is set to expand to 38 billion liters over 2023-2028, a nearly 30% increase from the last five-year period.

In fact, total biofuel demand is likely to rise by 23% to 200 billion litres by 2028, with renewable diesel and ethanol accounting for two-thirds of this growth and biodiesel and biojet fuel making up the remainder. Corn ethanol will be needed to make India self-reliant in ethanol among emerging economies, as Brazil, Indonesia, India, and Malaysia are expected to drive over 60% of global biofuel demand and production growth during the specified period.

Robust biofuel policies will lead to escalating demand for transport fuel, ethanol for cooking, and the introduction of Sustainable Aviation Fuel. The government needs to accord the topmost priority supporting the 'Corn Revolution' in the country on a war footing for the production of 2G ethanol.

PSUs and other oil sector companies should set up mega 2G refineries with 1250-1500 kilo litres per day capacity on a priority basis. The government needs to support Indian farmers with lucrative incentives to bring about a Corn Revolution in the country. Importing dented corn should be duty-free to create an ecosystem for 2G ethanol production for a period of five years till India becomes self-sufficient in local production of dented corn.

In fact, Global Biofuel Alliance (GBA) is a dynamic initiative by Prime Minister Narendra Modi that brings together governments, international organisations, and industry to speed up the adoption of biofuels, is to lead the biofuels development and deployment by uniting major consumers and producers, establishing them as crucial for energy transition and economic growth.

Modi had said, “The launch of the Global Biofuels Alliance marks a watershed moment in our quest towards sustainability and clean energy.” It will also help accelerate India’s existing biofuels programs such as PM-JIVANYojna, SATAT, and Gobardhan scheme, thereby contributing to increased farmers’ income, creating jobs and overall development of the Indian ecosystem.

The Global Biofuels Alliance (GBA) aims to boost sustainable biofuels globally. They focus on capacity-building throughout the value chain to enhance efficiency and innovation. GBA’s initiative aligns with the goal of increasing renewable energy in transport from 3-27% by 2050. Their strategy includes a virtual marketplace to connect supply and demand in the growing biofuel industry. This marketplace plays a key role in harmonizing global biofuel efforts as demand is expected to rise significantly by 2028.

Union Minister for Road, Transport, and Highways Nitin Gadkari will be the Chief Guest at the inaugural session, which will be followed by the plenary session. Vice President Jagdeep Dhankar is expected to address the valedictory session. There will be three technical sessions on Ethanol Production – 1G and 1.5G Technologies; Corn Revolution – Transform Rural India; and Decarbonisation and Carbon Trading. It will be followed by presentation of Green Awards and felicitation of awardees.

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