<article><p class="lead">India's prime minister Narendra Modi has officially launched E20 fuel — fuel blended with 20pc ethanol — at 84 retail outlets of oil marketing companies in 11 states and union territories on 6 February.</p><p>The launch was part of the inauguration of the India Energy Week (IEW) 2023 which runs from 6 February to 8 February. </p><p>The second-generation (2G) ethanol is produced using biomass feedstock such as rice straw, which <a href="https://direct.argusmedia.com/newsandanalysis/article/2360057">state-owned IOC is using</a> for ethanol production.</p><p>"We established Asia's first 2G ethanol bio-refinery in August last year. We are committed to make 12 such commercial 2G ethanol plants," said Modi. </p><p>"In the first phase [of E20 roll out], 15 cities of the country will be covered and it will be expanded across the country in the next two years," said Modi. But the names of the cities, their respective states and union territories were not disclosed. </p><p>India's ethanol production capacity has increased by six times since 2013-2014, said the ministry of petroleum and natural gas. </p><p>The country currently <a href="https://direct.argusmedia.com/newsandanalysis/article/2403307">produces 9.47bn litres/yr</a> of ethanol, according to government estimates in December 2022, and is on track to meet projected demand for E20 implementation.</p><p>Pilot sales of E20 fuel were <a href="https://direct.argusmedia.com/newsandanalysis/article/2404641">announced</a> by petroleum minister Hardeep Puri during the end of December 2022. </p><p>The minister is also confident that India could <a href="https://direct.argusmedia.com/newsandanalysis/article/2391118">reach its E20 blending mandate</a> before the initial target of 2025.</p><p class="bylines">By Ryan Ang</p></article>
