Sugar mills hoping for recovery in ethanol blending with petrol this year

During the last season, 2016-17 droughts in some parts of Maharashtra, Tamil Nadu led to less sugarcane output and hence, lower availability of ENA

After slowing down to a mere 2.5 per cent last year, sugar mills are hoping for a recovery in ethanol blending with petrol this year, due to a significant increase in cane output and thereby proportionate improvement in the availability of extra-neutral of alcohol (ENA). ENA is a derivative of sugar manufacturing and a pre-form of ethanol.

In November 2012, the Cabinet Committee on Economic Affairs (CCEA) approved five per cent mandatory blending of ethanol with petrol which was notified by the Centre under the Motor Spirits Act on January 2, 2013. According to the Act, oil marketing companies (OMCs)