Tamil Nadu Ethanol Blending Policy, 2023

Mar 23, 2023 | by TeamLease RegTech Legal Research Team

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Industry Specific ComplianceThe Government of Tamil Nadu on March 18, 2023, issued the Tamil Nadu Ethanol Blending Policy 2023 to promote a green economy and investment hub for alternate cost-effective green fuel.

The following are the aims of the policy:

• Improve farmer income through price realization and expansion in opportunities due to ethanol blending. 

• Revive the sugar industry in Tamil Nadu through improved utilization of existing mills and diversification to dual feedstock. 

• Enhance import substitution through indigenous sourcing and production of fuel-grade ethanol. 

• Enable capacity creation and diversification of grain-based distilleries. 

• Mitigate climate change risks and support diversification through the reduction in air pollution arising from fossil fuels.

The policy will be applicable to the eligible units; they are as follows:

• New grain-based distilleries or expansion of existing grain-based distilleries

• New molasses and sugar/sugar syrup-based distilleries or expansion of existing distilleries, whether attached to sugar mills or standalone distilleries

• New dual feed distilleries or expansion of existing dual feed distilleries – of which one feed shall be sourced from molasses

• Conversion of existing molasses-based distilleries to dual feed; and also, to convert grain-based distilleries to dual feed

The policy shall be in operation for a period of 5 years.

Disclaimer – Please view the policy for more details provided in the Link/Document. 

[G.O.(Ms). No. 71]


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