Gulshan Polyols Limited (GPL) has been awarded a significant allocation for ethanol supply under the Ethanol Blended Petrol Programme (EBPP) for the Ethanol Supply Year (ESY) 2024-25. The company participated in a tender process floated by major Oil Marketing Companies (OMCs) and secured an order to supply 21,220 kilolitres of ethanol, valued at ₹1,24,13,70,000.
This development comes as part of the Indian government’s initiative to boost ethanol blending in petrol, reducing reliance on fossil fuels and promoting renewable energy sources. The ethanol allocation was awarded by Bharat Petroleum Corporation Limited (BPCL), Indian Oil Corporation Limited (IOCL), Hindustan Petroleum Corporation Limited (HPCL), and Mangalore Refinery and Petrochemicals Limited (MRPL). The supply execution will take place throughout ESY 2024-25.
Beyond this specific allocation cycle (C3), Gulshan Polyols has secured ethanol supply orders across multiple cycles for ESY 2024-25, amounting to a total allocation of 1,82,242 kilolitres. This cumulative allocation reinforces the company’s strong presence in the ethanol supply sector.
The broader allocation includes a substantial order in Cycle 1, where the company secured 1,42,222 kilolitres of ethanol with an estimated value of ₹9,93,94,31,620. In Cycle 2, GPL was awarded 18,800 kilolitres, valued at ₹1,35,09,68,000, and in Cycle 3, the company received 21,220 kilolitres worth ₹1,24,13,70,000. In total, the company has secured ethanol supply contracts worth ₹12,53,17,69,620 for ESY 2024-25.
This large-scale allocation underscores GPL’s strong foothold in the ethanol market, aligning with India’s target of achieving 20% ethanol blending in petrol by 2025.
The EBPP is a government initiative aimed at reducing dependency on fossil fuels by blending ethanol with petrol. This transition not only lowers carbon emissions but also enhances energy security and supports the agrarian economy by utilising surplus sugarcane and other bio-based sources. Ethanol blending has gained significant momentum, with the government providing incentives to ethanol producers and oil marketing companies to achieve higher blending targets.
The ethanol supply allocation positions GPL as a key player in the government’s clean energy push. The company’s substantial order book for ESY 2024-25 reflects its ability to capitalise on the rising ethanol demand. Market sentiment around this development has been positive, leading to an 8% surge in the company’s share price following the announcement.
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Published on: Feb 20, 2025, 2:41 PM IST
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