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NEW DELHI – Conflict in West Asia is prompting the government to consider a faster shift toward renewable energy, including the possibility of increasing the blending of ethanol into gasoline from 20 to 25 percent, albeit in a measured way.This will come alongside increased refining capacity within the country, so that there is a buffer in the system and more domestic flexibility, those familiar with the discussions said, noting that maintaining refineries at 100% capacity is not sustainable.While the Barmer refinery has started operations, expansion is underway in Numaligarh and focus is also on working on integrated refineries on the west coast.
Apart from a mega refinery in Maharashtra, a new facility is also planned for Gujarat.Officials said that the increasing use of renewable energy sources, biofuels and hydrogen in the energy mix is no longer just an environmental issue, but has become a strategic necessity in a situation like the current one, where military conflict in West Asia has disrupted global energy supplies, leading to a supply crisis and a rise in oil and gas prices.According to officials, blending 20% ethanol has helped India save 4.5 lakh barrels of crude oil annually and reduce foreign exchange outflow by about Rs 1.5 lakh crore so far. Given concerns about fuel efficiency and its impact on vehicles, the government is expected to take a phased approach that addresses concerns about ethanol blending.The third pillar of energy is expanding strategic oil reserves.
reconnaissance
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