The Jharkhand government is working on a plan to stimulate ethanol production in the state to boost alternative sources of energy in the field of biofuels. Meanwhile, on Monday, the state industries department issued a draft policy, titled, “Jharkhand Ethanol Production and Promotion Policy 2021”. A discussion with potential investors also took place.
Addressing the gathering, the state industries department secretary Pooja Singhal said that the government was working on various sector-wise policies and aimed to unveil at least seven of them in the following two months. She further talked about advantages of investing in Jharkhand like ease of doing business, a land bank and a host of upcoming industrial parks and special economic zones. Moreover, on the ethanol sector, she stated, “Given the availability of feedstock used for ethanol production, Jharkhand can easily sustain a minimum of 600 KL/day of production for the captive market available in eastern India.”
It is noteworthy that ethanol is distilled from sugarcane, molasses, maize and agro waste. Since Jharkhand has sparse level of sugarcane cultivation, therefore investors will need to obtain raw materials from neighbouring states like Bihar, Uttar Pradesh, Andhra Pradesh and the likes.
Explaining further the draft policy, she said, “The policy proposes a highly remunerative incentive structure including capital subsidy at 25 percent of the investment made in fixed capital of up to Rs 10 crore for MSMEs and Rs 50 crore for non-MSMEs. This apart, there is also a one-time skill development subsidy at Rs 13,000 per employee for training employees who are domiciled in the state. Also, employment cost subsidy (50 percent reimbursement for male workers and 100 percent reimbursement for female workers) of expenditure on account of contribution toward ESI and EPF schemes for a period of 5 years will be provided.”
Some of the industries director who attended the ceremony were Jitendra Kumar, deputy commissioner, Department of Excise and Prohibition, Rakesh Kumar, representatives of various trade bodies, including Federation of Jharkhand Chamber of Commerce and Industries.