With India nearing 20% target of ethanol blending, Bio-CNG adoption needs stronger push: S&P Global

New Delhi [India], May 20 : With India making steady progress in bioethanol production and closer to meet the target of 20 per cent ethanol blending with petrol, the country needs to push the adoption of Bio-CNG says a recent report by S&P Global.

The report highlighted the need for a stronger push to scale up the production, distribution, and adoption of bio-compressed natural gas (bio-CNG) in the country.

It said "Bioethanol production and blending on course to meet target, but structured push needed to spur adoption of bio-CNG in the country"

Bioethanol has seen significant growth in recent years, with government support and industry involvement helping to boost both production and usage.

The report noted that the 20 per cent blending target, which aims to reduce the country's dependence on fossil fuels and cut emissions, now appears to be within reach.

At the same time, the report points out that bio-CNG, another important renewable fuel, is facing challenges in terms of infrastructure, supply chain, and adoption, especially in the transport sector.

A structured policy push and more investments are needed to overcome these hurdles and encourage greater usage of bio-CNG.

India's biofuel industry is becoming a crucial part of its energy transition efforts. With growing environmental concerns and the need to reduce dependence on imported fuels, the country is focusing on a 'multi-fuel mix' strategy.

This approach includes not just electric and hybrid vehicles but also biofuels like ethanol and bio-CNG.

The transport sector, which is one of the largest contributors to greenhouse gas emissions and heavily dependent on imported oil and gas, is seen as a key area where biofuels can make a quick and meaningful difference.

India currently imports about 88 per cent of its crude oil and nearly 50 per cent of its natural gas needs, making the shift to domestic biofuels even more important for energy security.

Automobile manufacturers in India are also playing a role, as many are actively working on technologies that can support biofuel use in vehicles.

The S&P Global report concluded that while bioethanol progress is commendable, a similar level of focus is now required to unlock the full potential of bio-CNG in India's energy and transport landscape.

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