New Delhi: The Centre has asked the state governments to facilitate the entrepreneurs to increase the ethanol production capacity. The states can provide land and other facilities to the entrepreneurs under the government scheme to set up ethanol production plants.
According to the news agency PTI, The Union Food Ministry has come out with a scheme under which subsidised loan is given to companies keen to expand their ethanol production capacity or set up new distilleries for producing first generation ethanol from feed stocks.
Recently, India has decided to achieve the target of 20 per cent ethanol blending with petrol by 2025 with an aim to cut the spending on the oil imports.
The Indian government aims to boost ethanol production, therefore it is taking various steps for the same. To strengthen the financial condition of sugar mills and cut oil imports, the government had asked mills to focus on ethanol production. Earlier, Centre had urged the mills for diversion of excess sugarcane and sugar for the production of Ethanol as a long term solution for addressing the problem of excess sugar stock.