Bihar to become hub of 'ethanol-based energy'

Patna, Apr 5 (UNI) Bihar will reduce its dependence on petroleum fuel as it takes steps to develop its 'ethanol-based energy' hub.

Minister of State for Sugarcane Industries Nitish Mishra said the state has prepared an ambitious plan to produce 68,000 kl of ethanol, which is fast becoming an alternative source of fuels in various parts of the world.

''Following the permission granted by the Centre to mix five per cent ethanol in petrol, an agreement was signed between the state and the IndianOil Corporation (IOC) for its marketing,'' he said while addressing a seminar on 'Agriculture in Bihar: Problems and Prospects' here today.

''Bihar, once regarded as the 'sugar bowl' of the country, is lagging behind since the last four decades, as its contribution to the national production has declined from 30 per cent in 1960 to two per cent in 2005,'' Mr Mishra said.

Lisiting the initiatives taken up by the state government in promoting the sugarcane industry, he said investment proposals worth Rs 20,000 crore in this sector had been cleared during the last 15 months.

''Bihar had cleared the decks for production of ethanol by suitably amending the relevant act,'' he said, adding industrialists would now be permitted to directly produce ethanol from sugarcane while earlier it was used to be produced only as by-product in sugar factories.

The Bihar government had cleared proposals to set up 19 sugar factories in the state, where ethanol would be produced as a by-product, while permission had been granted to some other units for its direct production from sugarcane.

UNI