The Minister of Petroleum & Natural Gas M Veerappa Moily directed PSU Oil Marketing Companies (OMCs), at a meeting of CMDs and Directors (Mktg) of OMCs and ISMA, to make all efforts for expediting delivery of already procured quantity of ethanol.
He also asked them to procure expeditiously additional quantity of ethanol through fresh tenders to meet the requirement of 5 per cent mandatory Ethanol Blended Petrol (EBP) programme.
The minister had called the meeting of OMCs and Indian Sugar Mills Association (ISMA) to expedite procurement and the delivery of ethanol for the EBP programme as per CCEA decision taken in a meeting held in November 2012.
The Minister observed that against a requirement of 100 crore litres ethanol per year, the OMCs have so far finalized procurement of around 40 crore litre of ethanol for next twelve months.
To meet the balance requirement, OMCs are planning to float another tender in the month of July 2013 for procurement of ethanol.
During the meeting, ISMA suggested that OMCs could procure the finalized quantity of 40 crore liter entirely in the next 3-4 months and fresh fender may be floated for the requirement of ethanol coinciding with next sugar season which starts from October 2013. The supply from new tender could be from the month of November 2013.