Mumbai: Amid the ongoing debate over E20 petrol, chief economic adviser to the government V Anantha Nageswaran has suggested bringing back E10 petrol for older two-wheelers.
According to reports, he has also urged India to examine the food-versus-fuel trade-off before pushing ethanol blending beyond 20%.
In a column published in The Indian Express on Monday, Nageswaran and Akash Poojari, a consultant with the Department of Economic Affairs, argue that India also faces the question that how much land and water it will have to commit, and what agricultural uses could be displaced as the country demands more ethanol.
They point out possible future blends such as E27 and E30. In the article, they have also cautioned against moving further without accounting for these costs. They have argued that it is relatively easier to change policy decisions. But changing cropping patterns and committing land and water to fuel production can be more difficult.
The column focuses particularly on maize. Greater demand from ethanol producers can push up its value as a fuel feedstock. This may potentially influence what farmers choose to grow. But maize is also a key input for poultry and livestock feed. So changes in its price and availability can have wider implications on the food cycle and economy.