With ethanol blending nearing 20 per cent, ISMA says India is poised to cut crude imports and accelerate its Atmanirbhar energy transition

The Indian Sugar & Bio-Energy Manufacturers Association has wholeheartedly appreciated Prime Minister Narendra Modi’s decisive address in Parliament, which spotlighted India’s strengthened energy preparedness amid escalating West Asia tensions and global crude oil volatility.

As international supply chains face increasing geopolitical strain, the Prime Minister’s vision reinforces the critical role of biofuels in advancing India’s Atmanirbhar (self-reliant) energy future.

PM Highlights Strategic Preparedness and Ethanol Milestone

Addressing Parliament, Prime Minister Modi stated: “In the last decade, India has prioritised storage of crude oil for times of crisis. Today, India has a strategic petroleum reserve of more than 53 lakh metric tonnes, and work is underway to create reserves of more than 65 lakh metric tonnes.

The reserves held by our oil companies are separate. In the last 11 years, our refining capacity has also increased significantly.

In this time of crisis, another preparation of the country is proving very useful. In the last ten to eleven years, unprecedented work has been done on ethanol production and blending. A decade ago, the country had a capacity of only one per cent ethanol blending. Today, we are close to achieving 20 per cent ethanol blending in petrol.

Due to this, in the last year, we have had to import about 4.5 crore barrels less oil. Naturally, economies across the world are being affected by the current conflict. Continuous efforts are being made to ensure that India faces minimal adverse impact. The government is working with a strategy to address the short-term, medium-term, and long-term effects.

Today, India’s economic fundamentals are strong, which has also greatly helped the country. We are holding discussions with stakeholders from every sector, and wherever needed, necessary support is being provided.”

ISMA: Biofuels at the Core of Energy Security

ISMA noted that this progress validates its long-standing advocacy, with ethanol blending rising sharply from 1.5 per cent in 2014 to nearly 20 per cent today, achieved ahead of schedule.

Deepak Ballani, Director General, ISMA, said:

“The Prime Minister’s acknowledgement that ethanol blending has already saved 4.5 crore barrels of crude imports is a powerful validation of biofuels as a strategic pillar of India’s energy security. With over 2,000 crore litres of domestic ethanol capacity—well above the 1,100 crore litres required for E20—India is uniquely positioned to move swiftly towards higher blends like E22–E27 and scale up Flex-Fuel Vehicles for E85/E100. This next phase can significantly amplify forex savings, reduce import dependence, and accelerate India’s journey towards true energy self-reliance.”