BPCL evinces interest in setting up Rs 1,000 crore Ethanol plant in Telangana

The Navaratna Public Sector Undertaking has offered to set up the plant with a production capacity of five lakh litres per day with an investment of Rs.1,000 crore.

Hyderabad: Oil major Bharat Petroleum Corporation Limited (BPCL) has expressed interest in setting up a first generation, food grain-based Ethanol production plant in Telangana State. The Navaratna Public Sector Undertaking has offered to set up the plant with a production capacity of five lakh litres per day with an investment of Rs.1,000 crore.

The company’s move comes in the wake of directions from the Ministry of Petroleum and Natural Gas (MoPNG) to set up first generation Ethanol blending facilities to improve ethanol blending in motor spirit in five States including Telangana. The aim is to eventually decrease crude import and aid in pollution reduction.

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A BPCL delegation led by Executive Director (Bio Fuels) Anurag Saraogi met Industries Principal Secretary Jayesh Ranjan here on Tuesday. The meeting comes after the Union government announced a favorable policy to increase Ethanol production in the country.

“Telangana is Ethanol deficient as on date, considering the 10 per cent blending requirements in motor spirit. With Niti Aayog and MoPNG, in their June 2021 roadmap, outlining that 20 per cent blending target was set to be achieved by 2025-26, BPCL is planning to set up a 500 KLD capacity grain based 1G Ethanol plant in Telangana which will not only facilitate production of 1G Ethanol and contribute revenue to the State but also generate huge direct and indirect employment in Telangana,” he said.

Stating that the project would also go a long way in reducing air pollution, Saraogi said the land requirement was 100 acre to set up the 1G Ethanol plant with 500 KLPD capacity. The land should also have proximity to source of water as the plant requires about 4000 KL Day of water for its regular operations, he said.

Responding to the BPCL request, Jayesh Ranjan assured that Telangana will extend all necessary support to set up the 1st Generation Ethanol production plant in the State. He said allotment of land along with necessary clearances will be fast tracked.

BPCL is a Fortune 500 company engaged in refining, marketing and distribution of petroleum products. It has also diversified into exploration of oil and gas. ln recent years, BPCL, as a responsible energy company, has been taking numerous steps towards harnessing renewable energy.