PM dedicates 2G Ethanol Plant in Panipat

On the occasion of World Biofuel Day, the Prime Minister dedicated the 2nd generation (2G) Ethanol Plant in Panipat, Haryana to the nation on August 10, 2022.

Key features of plant

  • The dedication of the Plant is part of a long series of steps taken by the government over the years to boost the production and usage of biofuels in the country.
  • This is in line with the Prime Minister’s constant endeavour to transform the energy sector into being more affordable, accessible, efficient and sustainable.
  • The 2G Ethanol Plant has been built at an estimated cost of over Rs. 900 crore by Indian Oil Corporation Ltd. (IOCL) and is located close to the Panipat Refinery.
  • Based on state-of-the-art indigenous technology, the project will turn a new chapter in India’s waste-to-wealth endeavours by utilising about 2 lakh tonnes of rice straw (parali) annually to generate around 3 crore litres of Ethanol annually.
  • Creating an end-use for the agri-crop residue would empower farmers and provide an additional income generation opportunity.
  • The Project will provide direct employment to people involved in the plant operation and indirect employment will be generated in the supply chain for rice straw cutting, handling, storage, etc.
  • The project will have zero liquid discharge. By reducing the burning of rice straw (parali), the project will reduce Greenhouse Gases equivalent to about 3 lakh tonnes of Carbon Dioxide equivalent emissions per annum, which can be understood as equivalent to replacing nearly 63,000 cars annually on the country’s roads.

Ethanol generations

  • Biomass has always been a reliable source of energy. Cultivated biomass has begun to be used to generate bioethanol. They are categorised as first (1G), second (2G) and third-generation (3G), based on the source of raw material used for bioethanol production.
  • Raw materials for first generation bioethanol synthesis are corn seeds and sugarcane; both are food sources.
  • Second generation bioethanol can be produced using inedible farm waste left over after harvest. Corn cobs, rice husks, wheat straw and sugarcane bagasse can all be transformed into cellulose and fermented into ethanol that can then be mixed with conventional fuels.
  • Algae grown in wastewater, sewage or salt water can be used to produce bioethanol in the third generation. Water used for human consumption is not required. The benefit of 3G is that it does not compete with food. Nevertheless, economic viability remains a critical issue.

Steps taken by the Government of India

  • Government of India, with the aim to enhance India’s energy security, reduce import dependency on fuel, save foreign exchange, address environmental issues and give a boost to domestic agriculture sector, has been promoting the Ethanol Blended Petrol (EBP) Programme.
  • The ‘National Policy on Biofuels’ notified by the Government in 2018 envisaged an indicative target of 20% ethanol blending in petrol by year 2030. However, considering the encouraging performance, due to various interventions made by the Government since 2014, the target of 20% ethanol blending was advanced from 2030 to 2025-26.
  • A “Roadmap for Ethanol Blending in India 2020-25” was also released by the Prime Minister in June, 2021 which lays out a detailed pathway for achieving 20% ethanol blending.
  • This roadmap also mentioned an intermediate milestone of 10% blending to be achieved by November, 2022.
  • However, due to the coordinated efforts of the Public Sector Oil Marketing Companies (OMCs) the target of 10% blending under the programme has been achieved much ahead of the targeted timelines of November, 2022 wherein the Public Sector OMCs have attained an average 10% ethanol blending in petrol across the country.

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