The Union government has taken a significant step by authorising an extra 2.8 million tonnes of FCI rice for ethanol production during the 2024–25 ethanol supply year (ESY), which runs from December 2024 to October 2025. Following an earlier sanction of 2.4 million tonnes, the Union Ministry of Consumer Affairs, Food, and Public Distribution made this decision last week, increasing the total to 5.2 million tonnes. Although the Ethanol Blended Petrol (EBP) program seeks to reduce pollution and imports of fossil fuels, the use of staple food grains like rice for fuel production has reignited discussions about food security, particularly in light of India’s reliance on rice for agriculture and human consumption.

Balancing Ethanol Goals with Food Security

A key component of India’s renewable energy policy, the EBP initiative aims to blend 20% ethanol into fuel by ESY 2025–2026. Distilleries have already removed about a million tonnes of the 5.2 million tonnes of rice allotted, with the issue price set at Rs 22.50 per kilogramme. This entire allotment might yield over 2.45 billion gallons of ethanol at a conversion rate of 470 litres per tonne, significantly contributing to the blending goal. However, there are issues with the dependence on first-generation (1G) biofuel feedstocks, including maize, rice, and sugarcane. These crops are essential to India’s food systems, and their diversion for industrial purposes may strain supplies, especially in a nation where access and food inflation are still significant problems. According to critics, fuel above food betrays the government’s commitment to providing food security for its citizens, particularly when buffer reserves are being depleted for uses other than food.

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The Push for Sustainable Alternatives

After evaluating buffer stock levels and ethanol production from excess FCI grain, the ministry demonstrated a methodical approach to resource allocation. However, as second-generation (2G) technologies provide a more sustainable option, the emphasis on 1G biofuels has come under attack. 2G biofuels are made from non-food biomass, such as lignocellulosic material, industrial waste, and agricultural residues, instead of 1G techniques, which directly use food crops. These sources are favoured for long-term sustainability since they reduce rivalry with food production. According to experts, increasing the production of 2G biofuel could lessen the moral and practical conundrums of the current strategy. However, India is still lagging in infrastructure and research, which are crucial for 2G technology. The government’s reliance on rice and other food crops for ethanol manufacturing is expected to continue until such alternatives are feasible on a large scale. This will feed continuous discussions on the trade-offs between energy objectives and food security.

The increased allotment highlights the need for a balanced strategy while reflecting India’s eagerness to reach its ethanol blending targets. The issues might be resolved by switching to 2G biofuels, increasing agricultural output, and ensuring enough food supplies. For the time being, the government has to strike a careful balance between protecting its residents’ nutritional needs and pursuing its renewable energy objective of FCI rice for ethanol production. This dilemma will probably influence policy deliberations in the years to come.

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