Why is it in News?
- Union Minister Nitin Gadkari announced that the Automotive Research Association of India (ARAI) is exploring the feasibility of 10% isobutanol blending with diesel.
- The statement was made during an annual industry meeting on biofuels.
Relevance :
- GS-III (Economy, Environment, Energy): Biofuels, energy security, import reduction.
- GS-III (Agriculture): Farmers’ income, corn & sugarcane demand, food vs fuel debate.
- GS-III (Science & Tech): Alternative fuels, blending technologies, ARAI trials.
Isobutanol & Ethanol Blending
- Isobutanol: A four-carbon alcohol produced via fermentation (from biomass such as corn, sugarcane, or agricultural residues).
- Properties:
- Higher energy density than ethanol.
- Lower hygroscopic nature (absorbs less water) → reduces corrosion in engines.
- Compatible with existing fuel infrastructure.
- Ethanol blending success:
- India achieved 12% ethanol blending with petrol in 2023-24 (target of 20% by 2025-26).
- Farmers benefited: Corn prices rose from ₹1,200/quintal → ₹2,600–₹2,800/quintal.
- Farmers collectively earned ₹42,000 crore from ethanol blending.
Overview
Government Push for Biofuels
- Energy Security: Reduce dependence on crude oil imports (India imports ~85% of crude).
- Farmers’ Income: Diversified demand for crops (corn, sugarcane).
- Environment: Cleaner-burning fuels, lower GHG emissions compared to fossil fuels.
- Export Potential: Government encouraging ethanol producers to enter global markets.
- Industry Demands:
- Sugar sector wants FRP alignment with rising costs.
- Higher minimum support price (MSP) for sugarcane.
- Increase in permissible sugar export quota for 2025–26.
Isobutanol-Specific Prospects
- Can complement ethanol in blending programs.
- More efficient combustion properties in diesel engines.
- Potential to tap into corn and sugarcane surplus.
Challenges & Concerns
- Food vs Fuel Debate: Diversion of sugarcane/corn to fuel may impact food prices & availability.
- Water Stress: Sugarcane is water-intensive; large-scale cultivation strains groundwater.
- Economic Viability: Higher production costs of isobutanol compared to ethanol; requires subsidies/market support.
- Technological Barriers: Engine modifications, regulatory approvals, and large-scale production technology readiness.
- Global Competitiveness: Need to keep biofuel prices competitive to succeed in export markets.
Sugar Production Outlook (ISMA)
- 2025–26 season: 349 lakh tonnes, higher than 2024–25.
- Healthy monsoon → strong harvests in Maharashtra & Karnataka.
- Scope for both domestic supply and exports.