Executive Summary:
This document addresses Lok Sabha Unstarred Question No. 2761, concerning ethanol production in India, answered on August 6, 2025. It provides state-wise details on installed ethanol plants, actual production over the past three years and the current year (2024-25), and plants currently under construction. The document also includes details on ethanol supply to Oil Marketing Companies (OMCs) and distilleries benefiting from the Ethanol Interest Subvention Scheme.
Key Points / Main Content:
Ethanol Production and Supply:
* Ethanol is produced by distilleries for blending with petrol under the Ethanol Blended with Petrol (EBP) Programme and for other industrial uses.
* The demand for ethanol for blending is determined by Oil Marketing Companies (OMCs).
* There are no interstate restrictions on the supply of ethanol to OMCs.
* Annexure I provides state-wise details of ethanol distilleries, their annual production capacity, and the quantity of ethanol supplied to OMCs during Ethanol Supply Years (ESYs) 2021-22, 2022-23, 2023-24, and 2024-25.
* Annexure II details the quantity of ethanol supplied by distilleries to States/UTs without ethanol plants during ESYs 2021-22, 2022-23, 2023-24, and 2024-25.
Ethanol Interest Subvention Scheme:
* Annexure III provides state-wise details of ethanol distilleries receiving benefits from the Ethanol Interest Subvention Scheme.
* This scheme aims to enhance and augment ethanol production capacity.
* The distilleries listed are likely to be commissioned soon.
* Additional ethanol production capacity is expected from distilleries under construction that have not availed the Ethanol Interest Subvention Scheme.
Impact Analysis:
Oil Marketing Companies (OMCs):
* Impact: OMCs are central to determining the demand for ethanol for blending purposes. The document provides data on ethanol supply to OMCs, enabling them to assess the current state and plan for future blending requirements.
* Action Required: OMCs need to assess their ethanol requirements and coordinate with distilleries for supply.
Ethanol Distilleries:
* Impact: The distilleries are the primary producers of ethanol, with their production directly affecting the success of the EBP program. The document provides data on their production capacity and supply, and also lists those benefiting from the Ethanol Interest Subvention Scheme.
* Action Required: Distilleries should focus on maximizing production capacity and ensuring a smooth supply of ethanol to OMCs. Distilleries under construction should expedite their commissioning.
State Governments/UTs:
* Impact: State governments and UTs are affected by the ethanol production and blending activities within their jurisdiction. The document provides state-wise data, enabling them to assess their contribution to the EBP program.
* Action Required: State governments should facilitate the establishment and operation of ethanol distilleries, promote the EBP program, and monitor ethanol production and supply within their states.
Key Entities Referenced
Bihar: A state in India with ethanol distilleries receiving benefits under the Ethanol Interest Subvention Scheme.
Maharashtra: A state in India with ethanol distilleries receiving benefits under the Ethanol Interest Subvention Scheme.
West Bengal: A state in India with ethanol distilleries receiving benefits under the Ethanol Interest Subvention Scheme.
Ethanol Blended with Petrol EBP Programme: A government program promoting the blending of ethanol with petrol.
Oil Marketing Companies OMCs: Companies involved in the marketing and distribution of oil.
Ethanol Supply Years ESYs: Refers to the years during which ethanol is supplied, specifically 2021-22, 2022-23, 2023-24, and 2024-25.
Ethanol Interest Subvention Scheme: A government scheme providing interest subvention for enhancing ethanol production capacity.
Andhra Pradesh: A state in India with ethanol distilleries receiving benefits under the Ethanol Interest Subvention Scheme.
GOVERNMENT OF INDIA
MINISTRY OF CONSUMER AFFAIRS, FOOD & PUBLIC DISTRIBUTION
DEPARTMENT OF FOOD AND PUBLIC DISTRIBUTION
LOK SABHA
UNSTARRED QUESTION NO. 2761
TO BE ANSWERED ON 6TH AUGUST, 2025
INSTALLED AND ACTUAL PRODUCTION OF ETHANOL
2761. SHRI VARUN CHAUDHRY:
Will the Minister of CONSUMER AFFAIRS, FOOD AND PUBLIC
DISTRIBUTION be pleased to state:
(a) the details of plants installed and actual production of ethanol during each of the
last three years and the current year, State-wise; and
(b) the details of plants under construction, State-wise?
ANSWER
MINISTER OF STATE FOR MINISTRY OF CONSUMER AFFAIRS,
FOOD & PUBLIC DISTRIBUTION
(SHRIM ATI NIMUBEN JAYANTIBHAI BAMBHANIYA)
(a): Ethanol is produced by ethanol distilleries for blending in petrol under Ethanol
Blended with Petrol (EBP) Programme and other industrial uses. The requirement of
ethanol for blending purpose is determined through demand from Oil Marketing
Companies (OMCs). There is no inter-state restriction for supply of ethanol to OMCs.
The state-wise details of ethanol distilleries, annual production capacity and quantity
of ethanol supplied by distilleries to Oil Marketing Companies (C)MCs) during
Ethanol Supply Years (ESYs) 2021-22, 2022-23, 2023-24 and the current ESY 2024--
25 are given at Annexure-l. Quantity of ethanol supplied to Oil Marketing
Companies (OMCs) by distilleries to the States/UTs having no ethanol plants during
Ethanol Supply Years (ESYs) 2021-22, 2022-23, 2023-24 and the current ESY 2024-.
25 is at Annexure-II.
(b): State-wise details of ethanol distilleries receiving the benefit of Ethanol Interest
Subvention Scheme notified by the Government for enhancement and augmentation of
ethanol production capacity, which are likely to be commissioned are at Annexure-
Ill. In addition to this, some additional capacity is likely to be created from under
construction ethanol distilleries, which have not availed the benefit of Ethanol Interest
Subvention Scheme
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hdAnnexure-11
ANNEXURE REFERRED TO IN REPLY TO PART (a) of the LOK SABHA UNSTARRED
QUESTION NO. 2761 DUE FOR ANSWER ON 06.08.2025
Quantity of ethanol supplied to Oil Marketing Companies ( C)MCs) by distilleries to the States/UTs with no
ethanol production capacity during Ethanol Supply Years (ESYs) 2021-22, 2022-23, 2023-24 and the
current ESY 2024-25
:
(in Cr. Litre)
State PUT 1 ESY 2021-22 ESY 2022-23 ESY 2023-24 ESY 2024-25(as
on 30.6.2025)
Arunachal Pradesh 0 0.04 0
Chandigarh 0 2 0 0
Dadra & Nagar Haveli and
Daman & Diu 0 1 0.65 0
Delhi 12 13 20 18
Goa 2 3 4 3
m
&
Kashmir 6 2
2i
Kerala 19 31 28
[15
Ladakh 0 0
takshadweep 0 0 0.01
Manipur 0 O
Meghalaya 0 2 ()
M izoram 0 a
Nagaland 0 0
mcherrv
0 0
Tripura 0 1 0
Total 34 58 57.85Annexure-Ill
ANNEXURE REFERRED TO IN REPLY TO PART (b) of the LOK SABHA UNSTARRED
QUESTION NO. 2761 DUE FOR ANSWER ON 06.08.2025
State-wise details of ethanol distilleries receiving the benefit of Ethanol Interest Subvention Scheme notified
by the Government for enhancement and augmentation of ethanol production capacity under EBP
Programme which are likely to be commissioned:
No. of Distilleries Projected Annual Capacity (Crore litres)
State/UT
Andhra Pradesh 2 15
Bihar 2
Gujarat 8
Karnataka 5 17
Madhya Pradesh 3 13
Maharashtra 8 13
Odisha 5 20
Punjab 2 9
Rajasthan 2 25
a 8 44
West Bengal 3
Total 38 169