Nepal Government Mandates Ethanol Blending in Petrol, Outlining Production and Supply Rules

Summary

Nepal government mandates blending ethanol up to 10% in petrol to promote domestic industries, increase agricultural resource use, reduce imports, and create employment. A regulatory order outlines production, quality, pricing, and safety rules for ethanol use.

Key Points
  • Nepal mandates ethanol blending up to 10% in petrol to promote domestic raw material industries and reduce energy import dependence.
  • Raw materials for ethanol include molasses, Napier grass, agricultural waste, excluding food grains to prevent misuse.
  • Nepal Oil Corporation will blend ethanol, sign purchase agreements with producers, and perform quality testing before acquisition.
  • A government committee will recommend ethanol pricing, exemptions, and subsidies to support industry and agricultural sectors.
  • The policy aims to boost rural employment and use agricultural residues, with success dependent on industrial capacity, raw materials, and regulation.
Article image