The National Policy of Biofuels-2018 notified on 4th June, 2018 provided indicative targets of 20% ethanol blending in petrol and 5% biodiesel blending in diesel by 2030.Encouraged by the past 7 years performance under the Ethanol Blending Programme, Government decided to advance the targets of 20% ethanol blending in petrol from 2030 to Ethanol Supply Year (ESY) 2025-26. The Roadmap for Ethanol Blending in India 2020-25,prepared by an inter-Ministerial Committee, estimated ethanol requirement of 1016 crore litres to achieve 20% blending targets in ESY 2025-26.
The current ethanol production capacity of 1364 crore litre is spread across most of the states of the country including in the ethanol surplus states of Uttar Pradesh, Maharastra & Karnataka. This capacity is sufficient to produce the ethanol required to meet the blending targets.