Rs 442 crore ethanol project to come up in Bokaro, Jharkhand

The largest ethanol plant in Eastern India is slated to be established in the industrial zone of Bokaro. Bokaro Spirit and Allied Industry, along with Eastern India Cement Pvt. Ltd., are set to initiate the construction of two plants at a combined cost of Rs 442 crore.

The Jharkhand Industrial State Development Authority (JIADA) has granted approval for both projects. Additionally, 24 acres of land in Phase-2 of the Biada Industrial Area have been sanctioned for the plant.

These two facilities are projected to yield a daily ethanol output of 2.90 lakh liters. Bokaro Spirit and Allied Industries will contribute Rs 300 crore to the plant’s construction and Eastern India Cement. will invest Rs 142 crore. Both plants have obtained No Objection Certificates from the fire department and pollution control board.

As per reports, the option of electricity supply from the Jharkhand Electricity Distribution Corporation and DVC has been provided for plant operations, facilitating nationwide ethanol distribution.

Upon the inauguration of these plants, approximately 2500 job opportunities will be generated. The plants have received NOC for groundwater extraction from the Central Ground Water Authority, along with approvals to commence operations through factory licenses and Consent to Establish (CTE) from the Jharkhand government.

Also, temporary employment opportunities, including driver roles, will be available, and health facilities will be extended to the labour force.

Jharkhand Industries Secretary Jitendra Kumar Singh recently announced the imminent introduction of a new ethanol production policy in Jharkhand, poised to significantly benefit industries.

As of November 2023, India’s ethanol production capacity reached about 1380 crore liters, with approximately 875 crore liters derived from molasses and 505 crore liters from grains. The Government, under the Ethanol Blending Program (EBP), aims for a 20% ethanol blend with petrol by 2025.

Government policies have substantially increased ethanol supply to Oil Marketing Companies (OMCs), soaring from 38 crore liters in the Ethanol Supply Year (ESY) 2013-14 to about 502 crore liters in ESY 2022-23. The blending percentage has also risen from 1.53% in ESY 2013-14 to the targeted 12% in ESY 2022-23.