
Mumbai, Oct. 8 -- Union minister Nitin Gadkari defended ethanol blending in petrol, saying the policy had created an additional market for farm produce and helped diversify agriculture. Speaking at the Bihar Investor Summit 2026, he said 40 mn four-wheelers and 200 mn two-wheelers had been running on ethanol-blended petrol since 2022, without reported vehicle damage.
Gadkari said leading automobile manufacturers had tested vehicles operating on 100 per cent ethanol. He added that the shift towards ethanol from corn had generated additional earnings of up to Rs. 450 bn for farmers in Bihar and Uttar Pradesh, while reducing dependence on conventional fuel imports valued at Rs. 22 tn. He also cited the production of aviation fuel from rice straw as an example of technology-driven development.
The minister proposed comprehensive water management measures to address Bihar's recurring floods. These included a water grid modelled on national highway and power grids, the transfer of water between river basins, river dredging and the construction of protective walls. He said the National Highways Authority of India (NHAI) was willing to remove silt without charge, with the material potentially being used in highway construction.
Gadkari said deep-water channels created through embankments or protective walls could support inland water transport and reduce logistics costs for industry, trade and investment. He also referred to an incomplete dam project on the Kosi river in Nepal, saying it could have significantly reduced flood risks in Bihar.
Highlighting the waste-to-wealth approach, Gadkari said sludge-to-water treatment and the conversion of organic waste into compressed natural gas could support a large economic opportunity. He estimated the solid and liquid waste management economy at Rs. 5 tn and outlined highway investments worth Rs. 385 bn in Bihar. Chief Minister Samrat Choudhary urged investors to establish businesses in the state and highlighted its market, tourism potential and production of makhana, or Indian fox nuts.
Published by HT Digital Content Services with permission from Construction World.