The West Bengal government plans to invest Rs 1,860 crore in the state's ethanol manufacturing units.

According to reports, one unit has already begun production, and the remaining nine units are in the processing stage, with production set to begin soon.

Malda, two in East Burdwan, three in West Burdwan, one each in South 24-Parganas and Alipurduar, and two more in the pipeline, according to MillenniumPost, citing an Industry and Commerce department source.

The state government of Bengal launched the Ethanol Production Promotion Policy 2021 in 2021 with the goal of promoting ethanol production units in the state. The policy aims to make the state self-sufficient in the production of rice bran-based ethanol, which must be blended with gasoline and diesel to reduce pollution from fossil fuels.

“We provide a set of financial incentives, including waiver on electricity duty for five years to prospective investors, exemption of stamp duty, registration fees, waiver of fees for land records mutation and its conversion. The non-financial incentive includes round the clock water supply which is very essential for ethanol production,” a senior official of the state Industry and Commerce department said.

West Bengal Industrial Development Corporation (WBIDC) is the nodal agency for raising awareness of the ethanol industry and implementing policy, as well as providing investors with handholding support.