Union Cabinet Approves National Critical Mineral Mission and Revision of Ethanol Procurement Price for 2024-25.

National

On January 29, 2025, the Union Cabinet, chaired by Prime Minister (PM) Narendra Modi, approved the following proposals:


      - The government has launched the 'National Critical Mineral Mission' (NCMM) to develop a robust value chain for critical mineral resources vital for green technologies. The mission will be implemented over seven years with a total allocation of Rs. 34,300 crore.

      - The Cabinet Committee on Economic Affairs (CCEA) has approved the revised ethanol procurement price for Public Sector Oil Marketing Companies (OMCs) for the Ethanol Supply Year (ESY) 2024-25, which will be in effect from November 1, 2024, to October 31, 2025.

      - As part of the Government of India's (GoI) Ethanol Blended Petrol (EBP) Programme, this revision sets the administered ex-mill price of ethanol derived from C Heavy Molasses (CHM) at Rs. 57.97 per litre, an increase from the previous rate of Rs. 56.58 per litre.

Main Point :-   (i) The government has advanced its target for 20% ethanol blending in petrol from 2030 to Ethanol Supply Year (ESY) 2025-26. Public Sector Oil Marketing Companies (OMCs) aim to achieve 18% ethanol blending in ESY 2024-25.

      (ii) Investments are being made to expand ethanol distillery capacity to 1,713 crore litres per annum to meet the growing demand.

(iii) The Ethanol Blended Petrol (EBP) Programme was launched in 2003 by the Ministry of Petroleum & Natural Gas (MoP&NG) to promote ethanol usage in fuel.

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