India is making notable progress in its Ethanol Blended Petrol (EBP) Programme, significantly increasing both ethanol production and blending levels.
As per sources, in July 2025 alone, Oil Marketing Companies (OMCs) procured 85.34 crore litres of ethanol under the EBP Programme. This has brought the total ethanol offtake by OMCs to 722.74 crore litres for the period from November to July.
For the current Ethanol Supply Year (ESY) 2024–25, ethanol supply from grain-based feedstocks has reached 448.93 crore litres, while ethanol derived from sugar-based feedstocks stands at 273.81 crore litres.
India achieved a major milestone in 2025 by reaching 20% ethanol blending in petrol, according to the Union Petroleum and Natural Gas Minister Hardeep Singh Puri.
This impressive progress has helped reduce the nation’s reliance on imported crude oil, saving approximately Rs. 1.36 lakh crore in foreign exchange. Additionally, Rs. 1.96 lakh crore has been paid to distilleries, fueling growth in the biofuel sector. Farmers have directly received Rs. 1.18 lakh crore, contributing to increased rural incomes and strengthening the agricultural economy, Puri added.
The environmental benefits have been substantial, with a reduction of 698 lakh tonnes of CO₂ emissions thanks to the adoption of cleaner fuel.
