Recently, Government of Bihar has announced New Excise Policy, wherein total ban has been imposed on liquor in Bihar. Government of Bihar had requested Ministry of Petroleum & Natural Gas to explore whether the oil companies would be able to lift the entire ethanol produced by the distilleries in Bihar.
The proposal of Government of Bihar has been considered by Ministry of Petroleum and Natural Gas in consultation with Oil Marketing Companies (OMCs). OMCs under MoP&NG have informed that about 6 crore litres of ethanol may be produced in Bihar through molasses route. This initiative is likely to give approx. 300 crore to the farmers of the State through sugar mills / distilleries. This will also ensure proper utilization of molasses in the State.
As a step in this direction, Government of India is running Ethanol Blended Petrol (EBP) Programme in 21 States and 4 UTs with immediate target to achieve 10% ethanol blending in Petrol. Other plans specifically for the State of Bihar include, capacity expansion of IOCL Barauni Refinery from 6 MMTPA to 9 MMTPA, up gradation of this refinery to produce BS-VI quality products, integration of this refinery to produce other value added options/specialty products and establishment of Petro-chemical complex at Begusarai, Bihar.
