Ethanol Blending Saves Consumers Nearly Rs 30 Per Litre: Indian Government

The Indian government has revealed that the country's ethanol blending program helped cushion the impact of global crude oil price surge, saving consumers nearly Rs 30 per litre. According to the Ministry of Petroleum and Natural Gas, without ethanol blending, petrol prices in Delhi would have risen to around Rs 125 per litre during the recent West Asian crisis.

The ministry stated that when the Indian crude basket climbed to around $135 per barrel, petrol without ethanol blending was projected to retail at about Rs 125 per litre. However, consumers paid Rs 94.77 per litre as 20% of every litre comprised domestically produced ethanol procured at stable, pre-agreed prices.

The government emphasized that the Ethanol Blended Petrol (EBP) Programme balances food security, farmer welfare, and energy security. The ministry added that grain procured under various welfare schemes and mandatory buffer stock requirements is not diverted for ethanol production before food security needs are met.