Question: Approval to the revision in the price of ethanol under Ethanol Blended Petrol (EBP) Programme has been given by Cabinet Committee on Economic Affairs. The revised price of ethanol would be fixed at-
(a) Rs.40.85/- per litre
(b) Rs.39.0/- per litre
(c) Rs.49.50/- per litre
(d) Rs.48.50/- per litre
Answer: (a)
Related Facts:
- On November 1st, 2017, the Cabinet Committee on Economic Affairs chaired by the Prime Minister has approved the revision in the price of ethanol under Ethanol Blended Petrol (EBP) Programme for supply to the Public Sector Oil Marketing Companies.
- The revised price of ethanol would be fixed at Rs.40.85/- per litre under EBP.
- The revised price will be applicable during ethanol supply period from 1st December 2017 to 30th November, 2018.
- Oil Marketing Companies (OMCs) have to start the ethanol procurement process for the upcoming sugar season 2017-18 for which ethanol pricing under EBP Programme needs to be decided.
- It will help in reducing dependency on crude oil imports, saving in foreign exchange and benefits to the environment.
- It is noteworthy that Government fixed the delivered price of ethanol during ethanol supply year 2014-15 & 2015-16 in the range of Rs.48.50 to Rs.49.50 per litre including Central/State Government taxes and transportation charges.
- This price was re-examined for ethanol supply year 2016-17 in the context of firming of sugar prices and falling crude prices and consequent under-recoveries of OMCs.
- The Ex-Mill price was revised to Rs.39/- per litre.
- Ethanol Blended Petrol (EBP) Programme was launched by the Government in 2003 which has been extended to the Notified 21 States and 4 Union Territories to promote the use of alternative and environment friendly fuels.
Reference:
http://pib.nic.in/newsite/PrintRelease.aspx?relid=173135