New Delhi, Dec 21 (PTI) India is planning to reduce itscrude oil imports worth Rs 6 lakh crore every year by 30-40per cent by 2030 by use of methanol produced from coal andstranded gas, NITI Aayog Member V K Saraswat said today.
"By 2030, we want to reduce crude oil import bill by 30to 40 per cent because of (use of) methanol. It is around Rs 6lakh crore (per annum) today," Saraswat told reporters after ameeting of a task force on methanol here.
Talking about the benefits of the fuel, he said that itappears to be good solution in view of huge reserves of highash content coal in the country.
He further said, "We are also working converting biomassinto methanol. We have decided to sanction 2-3 projects inthis area. We also want to use stranded or flared gas toproduce methanol. This will reduce our cost."He informed that the technology to produce methanol fromcoal is available abroad.
There are couple of plants being set up in India based onforeign technology. But those plants are not suitable for highash content coal. India has high ash content coal. ThereforeIndia is developing indigenous technology, he added.
He said, "The major effort which has been done today isthat all engines to be used in waterways would be methanolbased. We are partnering with the international manufacturingagencies."Besides he said that there will be a major programme ofconverting 4,500 horse power railway engine to work onmethanol because after defence, railways use the maximum(quantity of) diesel.
The task force thinks that it will take around one andhalf years to develop the railway engine.
The member also spoke about use of methanol as cookingfuel saying that the task force is also looking at blending ofmethanol with LPG.
Methanol is a clear and colourless liquid produced fromnatural gas, coal and wide range of renewable feedstocks. Alsoknown as wood alcohol, methanol is naturally occurring andbiodegradable.
India has already introduced blending of petrol withethanol.
According to the Methanol Institute, USA -- an industryconsortium -- China is using 15-20 per cent of its fuel mixedwith methanol. PTI KKSMR.
This is unedited, unformatted feed from the Press Trust of India wire.