For countries such as India, ethanol represents far more than another cooking fuel
India's ethanol production capacity has grown to roughly 20 billion litres a year, driven by the Ethanol Blended Petrol (EBP) Programme
After meeting the E20 blending mandate (about 11 billion litres) and industrial/potable demand (3-3.5 billion litres), an estimated 5.5-6 billion litres of surplus capacity — nearly 30% of installed capacity — remains available for other uses
This surplus is being proposed as a substitute for a share of India's LPG consumption, which stands at about 31.3 million metric tonnes (MMT) annually, roughly 60% of it imported
Analysis suggests ethanol could substitute close to 3.1 MMT of LPG (16-17% of current imports), and research on ethanol cookstoves points to substantial reductions in household air pollution compared to solid-fuel cooking
Ethanol Blended Petrol (EBP) Programme and National Policy on Biofuels, 2018
The EBP Programme, run under the Ministry of Petroleum and Natural Gas, mandates blending ethanol with petrol to cut crude oil imports and vehicular emissions. It operates within the framework of the National Policy on Biofuels, 2018, which was amended in 2022 to widen permitted feedstocks and advance the 20% blending (E20) target from 2030 to 2025-26.
Key Details
- National Policy on Biofuels notified in 2018; amended in June 2022 to expand feedstock flexibility and export surplus rice, and to advance the E20 deadline to ESY 2025-26
- Biofuels are classified as "Basic Biofuels" (1G bioethanol, biodiesel) and "Advanced Biofuels" (2G ethanol from lignocellulosic/municipal solid waste, 3G from algae)
- Permitted ethanol feedstocks now include sugarcane juice/molasses, sugar beet, sweet sorghum, damaged foodgrains, surplus rice, maize, and rotten potatoes
- India achieved the 20% ethanol blending target by March 2025, five years ahead of the original 2030 deadline, up from about 1.5% blending roughly a decade earlier
The same policy architecture that built India's ~20 billion-litre ethanol production capacity for E20 blending has produced a capacity surplus that is now being explored as a household cooking fuel option, extending ethanol's role beyond the transport sector.
LPG Import Dependence and Energy Security
India's LPG consumption for cooking (mainly under PMUY and general domestic connections) draws heavily on imports, exposing the country to global price volatility and forex outflow. Substituting a share of this demand with domestically produced ethanol is framed as an energy-security measure, similar in logic to the crude-oil-import-substitution rationale behind ethanol blending in petrol.
Key Details
- India imports roughly 85% of its crude oil requirement and a majority of its LPG; ethanol blending under EBP has been credited with foreign exchange savings running into several billion dollars over the programme's life
- LPG cooking is subsidized/distributed under the Pradhan Mantri Ujjwala Yojana (PMUY, launched 2016) for below-poverty-line households
- Ethanol cookstoves are a distinct technology from LPG stoves and would require new appliance standards and distribution infrastructure if scaled up
The article frames ethanol-for-cooking as a way to convert an agriculture-linked biofuel surplus into a partial substitute for imported LPG, potentially easing both import dependence and, by extension, some of the health burden associated with solid-fuel cooking in areas without full LPG penetration.
Household Air Pollution and Clean Cooking Transition
Clean cooking fuel transitions (from biomass/kerosene to LPG, biogas, or ethanol) are a recognized public health intervention because indoor combustion of solid fuels is a major contributor to household PM2.5 exposure, particularly affecting women and children.
Key Details
- Household air pollution from solid fuel use is among the leading environmental risk factors for disease burden in India, per global health assessments
- PMUY has been the primary policy instrument for LPG-based clean cooking transition since 2016, targeting over 10 crore connections
- Studies cited on ethanol cookstoves show household PM2.5 concentrations dropping sharply (from roughly 1,250 to about 200 micrograms per cubic metre) compared to biomass cooking
Any diversion of ethanol to cooking fuel would need to demonstrate comparable or better health outcomes than LPG to justify the shift, positioning it as a possible next phase in India's clean-cooking policy rather than a replacement for the PMUY-LPG model in the near term.
- India: world's third-largest ethanol producer
- Current installed ethanol production capacity: ~20 billion litres/year
- E20 blending requirement: ~11 billion litres/year; industrial/potable demand: 3-3.5 billion litres/year
- Estimated surplus available: 5.5-6.0 billion litres (~30% of capacity)
- India's LPG consumption: ~31.3 MMT/year; ~60% imported
- Potential LPG substitution from ethanol: ~3.1 MMT (16-17% of imports)
- E20 (20% ethanol blending) target achieved by March 2025, five years ahead of the original 2030 goal
- National Policy on Biofuels: notified 2018, amended 2022