“India uses the maximum amount of fossil fuels in the world and 40% of air pollution is caused by fossil fuels,” declared Nitin Gadkari, Minister of Road Transport & Highways.
He made this comment at the technology demonstration on “Ethanol Adoption - Flex Fuel Vehicles in India” organised by the Society of Indian Automobile Manufacturers (SIAM) in New Delhi on Tuesday.
Using flex fuels will not only bring down air pollution but also substantially reduce fuel import costs and conserve foreign exchange funds, said Gadkari. Additionally, sugarcane farmers will gain from an additional source of income.
In this backdrop, added the Minister, stakeholders must spread awareness and impart education on ethanol-blended petrol and its benefits. Flex fuel will help the auto sector as well as sugar manufacturers who have played an important part in the ethanol journey.
“Both will reap similar economic benefits working towards sustainability,” said Gadkari. Besides sugar, the Centre is also working on making ethanol from wheat, rice and bamboo.
The event saw a host of SIAM members showcase working concepts of flex fuel vehicles including Maruti Suzuki’s WagonR. Hisashi Takeuchi, MD and CEO, said that flex fuel for the car had been developed in India.
Being a mass segment vehicle, the flex fuel hatchback will ensure faster adoption of the technology while achieving economies of scale and helping India attain its net neutrality goal.
K N Radhakrishnan, Director and CEO, TVS Motor Company, said SIAM members had agreed upon a pan-India implementation of E20 by 2023. This means that components related to the fuel system will have to be compliant with E20 flex fuel. To ensure smooth transition to the new technology, Radhakrishnan requested the Minister to consider a GST concession for the new vehicles since they will be dearer than their fossil fuel counterparts.
Auto Expo 2023, scheduled to kick off in January, will have an exclusive stall for flex fuel-based vehicles. Vinod Aggarwal, President, SIAM, said the automobile industry and SIAM have been proactive in supporting the Centre’s vision in adoption of E10 five months ahead of schedule.
During his welcome speech, he pointed out that the auto industry contributes to 6% of the country’s GDP and 35% of manufacturing GDP. Gadkari said the Centre had set a turnover target of INR 15 lakh crore for the industry over the next five years.
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