India and the Netherlands announced that ethanol-blended gasoline will become mandatory.
India will require 10% ethanol blends, the Netherlands will require 2% blends.
Legislation will be published by the Dutch government next week, introducing compulsory blending of biofuels with diesel and gas starting the first of the year. The requirement will rise to 5.75% in 2010 to meet European Union targets. At the same time, the government will eliminate tax breaks for biofuels.
India announced mandatory 10% blends startingin June, 2007. 5% blends, currently used in three states, will spread to rest of the country by Nov. 15.
India, the world’s second largest sugarcane producer, expects a bumper crop next year.
India also plans to replace about 5% of its 40 million ton annual diesel consumption with jatropha biodiesel within five years.