On Wednesday, the union cabinet approved advances on the target of blending 20 per cent ethanol in gasoline by five years to 2025-26 and allowing more feedstock to be used to produce biofuels to reduce reliance on imported oil to meet the country’s energy needs. The cabinet, headed by PM Narendra Modi, approved amendments to the national biofuel policy on Wednesday, an official statement said.

The main revision is to target 20 per cent ethanol-blended gasoline (20% ethanol, 80% gasoline) from 2030 to 2025-26. Currently, about 10 per cent of ethanol is blended in gasoline. In addition, more feedstocks have been allowed to produce biofuels that can be blended into motor fuels. It also promotes biofuel production in the country through units located in Special Economic Zones (SEZ)/Export Oriented Units (EoUs) under the Make in India scheme.

The decisions will help India, which relies on imports for 85 per cent of its oil needs, reduce its reliance on overseas shipments. The cabinet also approved “licenses to export biofuels under specific circumstances,” the statement said. The amendments will also attract and promote the development of indigenous technologies, which will pave the way for manufacturing in India, thereby creating more jobs. The current National Biofuel Policy was introduced in 2018.

“This amendment proposal will pave the way for Make in India to reduce imports of petroleum products by producing more and more biofuels. “This will advance Atmanirbhar Bharat and advance the Prime Minister’s vision for India to achieve ‘energy independence by 2047 as more feedstocks are allowed to be used to produce biofuels,” the statement added.