Union Minister Gajendra Singh Shekhawat said in the Lok Sabha on Thursday that the government has saved Rs 24,000 crore by blending ethanol with petrol, with most of the benefits going to sugarcane growers. He said that currently the blending ratio of ethanol is 12% and the government plans to increase it to 20% as requested by Prime Minister Narendra Modi.

Shekhawat, who was answering questions on behalf of Petroleum Minister Hardeep Singh Puri, acknowledged that India’s oil imports have increased in the past few years and said the country has benefited from ethanol blending. “Oil import dependence has increased over the past few years. However, the country’s growth and energy needs are almost parallel,” he said.

Shekhawat said the good news is that Rs 24,000 crore has been saved in the past few years due to ethanol blending. “670% of it goes to farmers who produce sugar cane,” he said. Replying to another question, the minister said oil drilling can be carried out anywhere, whether offshore or onshore, only after taking environmental concerns into consideration.

“Commercial production will only take place after environmental and other issues are taken into consideration,” he said.

(This story has not been edited by News18 staff and is published from associated news agency – PTI)