During Vajpayee ji's regime, Ethanol blending in petrol was started. This is something that had been done for years in Brazil but never done in Bhaarat. Similarly, the major push to bio-diesel production from jatropha, railways to grow jatropha in waste land and attempts to run trains on blends using bio-diesel were initiated.
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The driver of initiative were two:
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One was a belief that by adhering to, तेल बनेगा झाडी से, नहीं आएगा खाड़ी से, (Oil will be made from plants, it will not come from the bay - Arab area) you reduced dependent on import. How stupid is it to pay money to middle eastern countries, who then use that money to finance Jihad in your land to destroy you.
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Strategically, as a civilization, we can never be at peace with totalitarian ideologies which believe that their view is the ONLY view and the rest of the world must be brought to their view point by any which ways, including either force or deception or money. Such ideologies are Jihadis, Evangelists and Communism.
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The other driver of ethanol blending was providing a stable priced outlet of sugarcane to account for the years when sugarcane production was so high that some years, the farmers simply set their own crop to fire, since the realization was even lesser than the cost of carrying.
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So, the step of Shri Narendra Modi led government to bring policy change in procurement of ethanol by Public Sector Oil Marketing Companies (OMCs) to carry out the Ethanol Blended Petrol programme is a very welcome step. Unfortunately, it did not get sufficient coverage.
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There are certain advantages of blending Ethanol with Petrol:-
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a) Incentivizing the sugar industry and benefiting sugar-cane growers.
b) EBP has higher octane number than petrol resulting in reduced emissions of pollutants.
c) It is a renewable fuel.
d) At 5% blending level, OMCs will have surplus Petrol production of 115 crore litres which can be exported to earn foreign exchange. (USD 766 million annually)
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