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    Home - Business & Economy - 5% voluntary ethanol mixing proposed
    Business & Economy

    5% voluntary ethanol mixing proposed

    Naveed AhmadBy Naveed AhmadJanuary 7, 2026No Comments4 Mins Read
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    ISLAMABAD:

    A committee shaped by Prime Minister Shehbaz Sharif has really helpful 5% voluntary ethanol mixing with petrol based mostly on industrial viability and in session with oil advertising corporations.

    The committee, headed by Minister for Petroleum Ali Pervaiz Malik, had been tasked with exploring choices for gasoline mixing. It submitted a report back to the Prime Minister’s Workplace, which requested it to current the research to the deputy prime minister. Oil business officers level out that the present ethanol manufacturing from sugarcane crushing stands at solely 400,000 to 450,000 tons per 12 months. Ethanol exports from Pakistan have been used for mixing to supply E10-E15 gasoline. At current, many of the ethanol produced within the nation is exported as a result of value incentives.

    The committee additionally performed a value comparability. The month-to-month common of ethanol and petrol costs signifies that ethanol stays constantly cheaper than petrol. The common distinction is calculated at $225 per ton. The committee famous that as a result of decreased power content material in ethanol, its value wanted to be decrease by 20% to 30% as a way to change into cost-effective. Infrastructure may also require notable funding. The committee was of the view that vital capital funding must be pumped into ethanol storage and mixing services.

    Car compatibility has been evaluated too. In response to the committee, new automobiles are appropriate with E5 and E10 fuels. Nonetheless, Pak Suzuki Motor Firm has declared incompatibility with ethanol mixing within the case of older automobiles and two-wheelers. The committee took up for dialogue sustainable provides as guaranteeing constant provide was a problem, significantly when export costs had been greater.

    Earlier makes an attempt at ethanol mixing

    A pilot mission for mixing 10% ethanol (E-10) was launched by state-run oil advertising firm Pakistan State Oil (PSO), which continued from 2010 to 2012. The mission was initiated in Sindh and later expanded to Punjab.

    The E-10 value was saved decrease by Rs2.50 per litre in comparison with the common petrol value by the petroleum levy differential. PSO was allowed to utilise Rs1.70 per litre for the event of infrastructure over a interval of two years.

    Nonetheless, the mission was stopped in 2012 because of the sudden unavailability of ethanol. As its export costs picked up, the producers most popular to export. Solely PSO had been tasked with implementing the mission. It was launched as a separate grade, requiring substantial funding. Auto producer Pak Suzuki declared that E-10 was not appropriate for consumption in its automobiles.

    World greatest practices

    Brazil launched ethanol mixing in 1975 with E10 and at present E27 is being provided. It ensured constant long-term coverage implementation and funding in infrastructure with the target of decreasing reliance on imported fuels and curbing greenhouse gasoline (GHG) emissions.

    The South American nation launched flex-fuel automobiles in 2003, which may run on E25-E100. It’s also the biggest producer of sugarcane, accounting for 25% of world manufacturing.

    India initiated ethanol mixing in 2003 with E5 and at present it’s promoting E10 and is shifting to E20. It has adopted a constant long-term coverage, the diversification of feedstock and controlled ethanol costs.

    The target is to scale back dependence on imported gasoline and emissions depth. It has change into the second-largest producer of sugarcane with 19% of world manufacturing.

    Earlier, the US launched ethanol mixing in 1970 and at present E10 is getting used throughout the nation. In some states, greater mixing ratios are utilized. The USA units versatile annual mixing targets relying on the provision of ethanol. Its goal is to scale back GHG emissions and improve rural earnings. It’s the largest producer of corn-based ethanol.



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