The Budget 2022 proposed to impose a differential excise duty of Rs 2 on unblended fuels from October 1, 2022.
In her Budget speech, Finance Minister Nirmala Sitharaman added that blending of fuel is a priority of the government and the move to impose the duty is towards encouraging the programme.
The Centre had, advanced its set deadline to meet the target of 20 per cent ethanol blending in petrol from 2030 to 2025.
In line with the announcement, many investments and expansion activities are expected in the biofuel space.
(With inputs from IANS)
