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Vinod Khosla advocates use of ethanol
By agencies
|
Thursday, 07 September 2006, 19:30 IST
PUNE: With a view to solve the oil shortage and expensive import problems, venture capital investor and ethanol evangelist Vinod Khosla proposes a unique solution. He suggests using ethanol blend gasoline to run cars instead of the oil used currently all over world.
Khosla elaborated his newfound inclination for cleaner technologies while visiting Pune where he has invested 
100 crore for 10 percent stake in city-based Praj Industries.
The long-term estimated price of oil was at $50 per barrel and ethanol is economical when crude oil prices have crossed $40 a barrel. He further said that the Indian government has issued a mandate requiring oil companies to mix 5 per cent ethanol with petrol, which could have been kept flexible and ethanol content could be up to 10 per cent.
That would have made it possible to respond suitably to ethanol availability leading to cheaper fuel option for the consumer, explained Khosla. Ethanol can be imported from countries like Brazil to make cleaner and cheaper fuel available to the Indian consumers. In addition, he also recommended that import duties on the new age fuel be on par with crude oil imports, which would encourage customers.
In a white paper submitted by Khosla in April 2006, he mentioned that with minimal modifications, at equally minimal cost conversion of most new automobiles and light trucks to use ethanol or gasoline in various blends is possible. With just a few new gaskets and hoses, many contemporary vehicles can use E85, an 85 percent ethanol blend already available.
Stressing the virtues of ethanol, he said India had a huge potential and benefit, if the per-acre yield of ethanol was increased by developing technologies that will use non-food plants as feedstocks to extract ethanol. If this was implemented successfully ethanol yield can increase five-fold which could lead to financial gains for the country.
100 crore for 10 percent stake in city-based Praj Industries.
The long-term estimated price of oil was at $50 per barrel and ethanol is economical when crude oil prices have crossed $40 a barrel. He further said that the Indian government has issued a mandate requiring oil companies to mix 5 per cent ethanol with petrol, which could have been kept flexible and ethanol content could be up to 10 per cent.
That would have made it possible to respond suitably to ethanol availability leading to cheaper fuel option for the consumer, explained Khosla. Ethanol can be imported from countries like Brazil to make cleaner and cheaper fuel available to the Indian consumers. In addition, he also recommended that import duties on the new age fuel be on par with crude oil imports, which would encourage customers.
In a white paper submitted by Khosla in April 2006, he mentioned that with minimal modifications, at equally minimal cost conversion of most new automobiles and light trucks to use ethanol or gasoline in various blends is possible. With just a few new gaskets and hoses, many contemporary vehicles can use E85, an 85 percent ethanol blend already available.
Stressing the virtues of ethanol, he said India had a huge potential and benefit, if the per-acre yield of ethanol was increased by developing technologies that will use non-food plants as feedstocks to extract ethanol. If this was implemented successfully ethanol yield can increase five-fold which could lead to financial gains for the country.