Nayara Energy to Invest Rs 1,200 Crore in Ethanol Plants

New Delhi, May 15 (KNN) Nayara Energy, India's largest private fuel network operator, has announced plans to invest Rs 1,200 crore in setting up two ethanol manufacturing plants in Andhra Pradesh and Madhya Pradesh.

Each plant will have a capacity of 200 KLPD (kilo liters per day). This move aligns with the Government of India's target of achieving a 20 per cent ethanol blending rate in petrol by the end of fiscal year 2025-2026. 

The company has already identified and acquired land in both states for the proposed ethanol facilities.

"The establishment of these ethanol plants will significantly enhance our ethanol supply reliability, playing a crucial role in meeting the Indian government's blending target," said Alessandro des Dorides, Chief Executive Officer of Nayara Energy, reported Hindu.

He added, "This strategic move into ethanol manufacturing highlights our dedication to sustainability, regulatory compliance, and long-term growth in the dynamic energy sector. 

By expanding our presence in the ethanol segment, we aim to actively contribute to India's renewable energy goals and fostering a greener future."

The investment in ethanol production marks a significant step towards achieving downward integration within the energy sector for Nayara Energy. 

It demonstrates the company's commitment to sustainable practices and aligning with the nation's push for cleaner fuels.

Ethanol, a biofuel derived from agricultural feedstocks such as sugarcane and grains, is blended with petrol to reduce vehicular emissions and dependence on fossil fuels. 

The Indian government has set an ambitious target of 20 per cent ethanol blending in petrol by 2025 to promote energy security, reduce oil imports, and mitigate environmental impact.

(KNN Bureau)