Minfal proposes project for cheap fuel production

The Ministry of Food, Agriculture and Livestock (Minfal) has proposed "Fuel-Ethanol Production and Marketing Project" for the production of cheap fuel from the molasses, a by-product of sugar, blending it with petrol.
The Minfal in a meeting with Pakistan Sugar Mills Association (PSMA) were convinced that the project is viable, official sources told Business Recorder here on Tuesday.
Currently, Pakistan is exporting molasses at a throwaway price, but it could be used in distilleries for making ethanol, and later could be blended with petrol, an official of the Minfal said.
The ministry was also increasing the number of distilleries to 21 till 2006 for maximum utilisation of molasses for preparing ethanol, the source said, adding that 10 percent blended ethanol with petrol would also lower down the cost of petrol for the consumer.
"This can also benefit the sugar industry for better utilisation of by-product instead of exporting it at a throwaway price," the official added. The project, which has been under consideration from February, could not be started due to the reservations of the oil marketing companies, the sources said.
Issues like consumers' price of alternative fuel, price mechanism for ethanol, its consumption in the presence of petrol and availability of requisite technical advice for establishing blending and marketing facilities would be resolved with the consent of all the stakeholders, the sources added.
"Regional Fuel-Ethanol Production and Marketing Project" would be established in the vicinity of major oil storage located at the reasonable distance from the sugar mills already producing ethanol.
The sources also said that the Sugar Mills Owners Association has been assigned the task to conduct pre-feasibility report of the project.
They said that Brazil was the first country who introduced use of blended fuel and it was subsequently adopted and successfully used by China, the US, Britain and France.
They dismissed the fear that the use of blended fuel would have any negative impact on the machinery of vehicle.
The sources said the experiments proved that 10 percent use of blended fuel has increased the power of engine significantly and were also environment-friendly.