Nayara Energy, a leading Indian energy company, has announced plans to invest an estimated INR 600 Crore in setting up two new ethanol manufacturing plants in India. These plants will be located in Naidupeta, Andhra Pradesh, and Balaghat, Madhya Pradesh.
Each plant will have a production capacity of 200,000 kiloliters of ethanol per day. The company aims to use broken rice and maize as feedstock for ethanol production. In the future, Nayara Energy plans to have a total of five ethanol manufacturing plants. These new facilities are expected to be operational by 2026. This move toward ethanol production aligns with the company’s plans of blending 20% ethanol in fuels by 2025, contributing to cleaner energy sources in India.
Nayara Energy’s vision is to diversify its product portfolio and lead in the high-growth petrochemical industry while also catering to domestic energy needs. The company plans to open a polypropylene unit at its existing 20 million-metric-tonne oil refinery in Vadinar, Gujarat. It will invest an estimated INR 6,000 Crore for a petrochemical unit with an annual capacity of 450,000 tonnes. Moreover, Nayara Energy will invest approximately INR 4,000 Crore in modernising the refinery to improve its lifespan and reliability.
The company will make these investments till 2026. Additionally, Nayara Energy is studying the prospect of venturing into the sustainable aviation fuel business.