Syllabus :GS 3/Environment
In News
- The Department of Biotechnology is considering setting up enzyme-manufacturing facilities to support ethanol production.
About
- The first plant may be established in Manesar, Haryana.
- The facility will supply enzymes to 2G bioethanol plants in Mathura (Uttar Pradesh), Bhatinda (Punjab), and an existing plant in Panipat.
| Do you know ? – Enzymes are derived from a genetically engineered fungus, Penicillium funoculosum. – Enzymes, crucial for converting stubble into ethanol, are currently imported and are costly. – Using locally developed enzymes could reduce costs by about two-thirds compared to imported enzymes. |
Ethanol Production:
- Ethanol is an agricultural by-product which is mainly obtained from the processing of sugar from sugarcane, but also from other sources such as rice husk or maize.
- India’s total ethanol production capacity is currently 1,589 crore litres.
Focus:
- The current emphasis is on first-generation (1G) ethanol from food grains and sugarcane.
- There are calls to diversify into second-generation (2G) and third-generation (3G) ethanol to mitigate food security impacts.
- 2G bioethanol is produced from agricultural waste like rice straw, unlike conventional ethanol from molasses.
- Indian Oil Corporation Ltd. operates a 2G ethanol plant in Panipat using rice stubble as feedstock.
Ethanol Blending Target:
- Ethanol blending in India reached 13.3% by July 2024, up from 12.6% during the 2022-23 season.
- The Union government aims to increase the ethanol blending rate in petrol to 20% by 2025, up from the current 13%.
Importance
- Production of ethanol has led to proportionate reduction in the import of petroleum or crude oil which has resulted in saving of foreign exchange for India
- India’s ethanol blending program has saved Rs 99,014 crore in foreign exchange since 2014
- Ethanol production has recharged rural economies, providing employment opportunities and improving livelihoods.
- By utilising surplus crops and damaged food grains for ethanol production, farmers have found an additional source of income.
Initiatives
- The Indian government is implementing an Ethanol Blending Program (EBP) across the country, under which oil marketing companies (OMCs) sell petrol blended with ethanol.
- The government has lifted restrictions on ethanol production from sugarcane juice, B-heavy, and C-heavy molasses for the ethanol supply year starting in November.
Concerns:
- In tropical countries like India and Brazil, sugarcane is more efficient for ethanol production.
- However, intensive sugarcane cultivation can lead to environmental and food production challenges.
- Increased maize imports and use for ethanol production are raising concerns about food security.
State-Level Differences:
- States have different impacts and responses to ethanol policies. For instance:
- Uttar Pradesh is a major contributor to the ethanol blending program and supports the central government’s ethanol mission.
- Tamil Nadu is cautious about ethanol due to its liquor market and water concerns, preferring maize as an alternative feedstock.
- Maharashtra finds more profit in producing Extra Neutral Alcohol (ENA) for other uses rather than ethanol blending.
Conclusion and Way Forward
- India faces a dilemma between meeting ethanol targets and managing food inflation.
- Options include reconsidering the ethanol target, investing in public infrastructure, and focusing on renewable energy sources like solar power.
- The future policies must involve close collaboration between the central and state governments.
- It should provide sustained financial and infrastructural support to achieve meaningful results, rather than expecting immediate returns.
Source: TH
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