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Petroleum ministry considers alcohol-based fuel proposal 

Prasanna Upadhyay  
Mumbai, March 12 : The ministry of petroleum is considering a proposal, which envisages the development of alcohol-based fuel as an alternative to petrol. According to sources in the petroleum ministry, a pilot project is scheduled to be launched in Miraj in Maharashtra, by the end of this month where alcohol-based fuel will be used. The new fuel will be made by doping existing gasoline with anhydrate ethanol (alcohol). The new fuel will have about five per cent of ethanol. The six-month project is estimated to cost Rs 40 lakh. To begin with, the new fuel will be available in about 150 retail outlets around Miraj. All the three oil companies - Indian Oil Corporation (IOC), Bharat Petroleum Corporation Ltd (BPCL) and Hindustan Petroleum Corporation Ltd (HPCL) have made all the necessary changes required for mixing of the two products. The mixing will be carried out at the oil depots itself.

Sources say that the tankers that will be used to transport the fuel from the oil depots to the retail outlets will be pre-set with meters and the doping will be carried out during the filling. All the tanks have been set with silica gel straps, added sources. The ministry is all ready to launch the new fuel, but for the trouble it has run into on the excise duty front. Sources say that the excise department has raised the issue of excise duty, but the ministry is hopeful of settling it and expects the launch to take-off on time.

Experts added that the ministry of petroleum had carried out R&D on the use of ethanol and it had proved to be very successful.

Copyright © 2001 Indian Express Newspapers (Bombay) Ltd.

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