Nepal clears way for E10 petrol blend, eyes Rs6 bn yearly savings

Summary

Nepal has approved blending 10 percent ethanol into petrol to cut fuel import costs, potentially saving Rs6 billion annually and boosting local agriculture and employment.

Key Points
  • Nepal's Cabinet approved a policy allowing up to 10 percent ethanol blending in petrol to reduce costly fuel imports.
  • The initiative aims to save over Rs6 billion annually by mixing domestically produced ethanol into imported petrol.
  • Concerns exist about raw material supply and the impact on food security, but the government assures only by-products will be used.
  • Stakeholders expect ethanol blending to promote cleaner energy, agricultural growth, job creation, and reduced carbon emissions.
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