Millennium Post

Closed sugar mills may see revival soon for ethanol production

Closed sugar mills may see revival soon for ethanol production

New Delhi: The government is planning to come out with a policy to revive closed sugar mills by using their land for ethanol production, Union Minister Nitin Gadkari said on Monday.

He said the ethanol economy has the potential to reach Rs 1 lakh crore from about Rs 25,000 crore and can reduce the annual Rs 7 lakh crore crude imports.

"A lot of sugar mills are closed... I am going to frame a policy. Condition of these sugar mills is such that they are not getting finances. I want to proceed for a Cabinet note. ...Some 5-6 acres of land in a closed sugar mill which can be used for making of ethanol," Gadkari said. The minister said land of the sugar mill can be utilised for ethanol production from sugar, sugarcane juice and molasses and a policy will be framed soon.

Gadkari said there was an agreement with multilateral banks like KfW for low-cost funds green energy.

"Already we have signed an agreement with KfW for green energy in MSMEes. I will try to convince them to finance sugar mills proposal and we will find out a mechanism with the petroleum ministry for this," the minister said.

He said ethanol production through sugar could boost the economy of sugarcane-producing states like Uttar Pradesh, Bihar, Maharashtra, Punjab and Haryana.

PTI

PTI

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