OMCs Seek Bids for 66 Crore Litres of Ethanol Amid 20% Petrol Target Push
Oil Marketing Companies (OMCs) have launched a bidding process for the supply of approximately 66 crore litres of Denatured Anhydrous Ethanol in ESY 2023-24. The bidders are asked to provide quotes for ethanol production sourced from various feedstocks such as Sugar Cane Juice, Sugar, Sugar Syrup, B Heavy Molasses, C Heavy Molasses, Damaged Food Grains, and Maize.
The tender requires bidders to specify the quantities of ethanol they can supply against the OMCs' requirements, categorized by feedstock and quarter for the period from August 1, 2024, to October 31, 2024. Bids will remain valid until July 31, 2024.
The government aims to achieve a 20% ethanol-blended petrol target by 2024-25, requiring approximately 1016 crore litres of ethanol. To meet this target, around 1700 crore litres of ethanol-producing capacity will be needed by 2025, assuming plants operate at 80% efficiency.