Suresh Gopi, the Minister of State for Petroleum and Natural Gas in India, provided details about the ongoing and proposed ethanol projects in Odisha during a response to an unstarred question in the Rajya Sabha.
When asked whether the government has identified Odisha as a potential biofuel production hub, Gopi clarified that biofuel production plants are established by entrepreneurs, companies, and co-operative societies based on investment plans and the techno-economic feasibility of each project. Under the Ethanol Interest Subvention Scheme, a total of 29 projects in Odisha have been approved for assistance by the Department of Food and Public Distribution (DFPD).
Currently, five ethanol distilleries in Odisha are operational, with an annual production capacity of 20 crore litres. Bharat Petroleum Corporation Limited (BPCL) is setting up a 200 KLPD (Kilo Litres Per Day) integrated ethanol plant in Bargarh, Odisha. This plant will feature both First Generation (1G) and Second Generation (2G) technology, with each technology contributing 100 KLPD of ethanol production.
Gopi also highlighted the estimated environmental benefits of the BPCL ethanol plant. The bio-ethanol blending from this plant alone is expected to reduce carbon dioxide (CO2) emissions by approximately 1.1 lakh tons annually. Additionally, the project is set to generate around 1,000 direct and indirect employment opportunities, contributing to the local economy.
To boost local farmer participation in biofuel production, a series of capacity-building seminars and farm implement demonstrations have been organized in surrounding areas. These initiatives aim to mechanize farming practices and encourage investment in the biomass supply chain, supporting both the local agricultural community and the biofuel industry.
India has made significant strides in ethanol blending in recent years, reducing its reliance on crude oil imports while simultaneously increasing farmers’ incomes. The government’s efforts to promote ethanol production and blending are enhancing the country’s energy security. India has successfully met its ethanol blending targets in the past and is on track to achieve a 20% blending target soon.
With ongoing projects and innovations in ethanol production, Odisha is poised to play a crucial role in India’s biofuel future, creating sustainable economic and environmental benefits.