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The Indian Sugar Mills Association (ISMA) has called for a faster launch of flex-fuel vehicles (FFVs) to achieve 20 per cent of ethanol blending.
In a presentation made to Members of Parliament, ISMA Director-General Abinash Verma said: “FFVs will be needed in India as early as possible. FFVs can run on 0 to 100 per cent ethanol or petrol or any level of blend therein. Even if FFVs run at 80-85 per cent ethanol, the demand for ethanol from FFVs will increase by four times compared to E20. Therefore, FFVs are crucial and they have to be launched as quickly as possible if we have to achieve 20 per cent bending by 2025”.
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Production has increased eight times since 2013-14, Centre tells Rajya SabhaISMA demanded an increase in ethanol storage capacities at depots of oil marketing companies (OMC) across the country and said the Indian Railway network as well as laying of pipelines will be crucial to carry 1,016 crore litres of ethanol in three years across the country.
Changes at petrol pumps
ISMA also highlighted the need for OMCs to make necessary changes at retail pumps/stations dispensing higher ethanol-blended petrol as also pure ethanol.
Sugarcane policy
Verma, in his presentation, said farmers get 50-60 per cent higher returns from sugarcane as compared to any competing crop and the fair and remunerative price (FRP) of sugarcane more than doubled in 12 years. Returns from sugarcane continue to be very high compared to other crops. “To be able to pay FRP, ex-mill sugar price should cover cost of production” he said, adding that rationalization of sugarcane policy is need of the hour.
“ If India is a structural surplus sugar producer, it needs to export regularly. High cane prices make Indian sugar uncompetitive, and always dependent on government subsidies on exports. With export subsidies not possible after 2023 (as per WTO), Indian cane pricing policy needs reforms urgently” he said.
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