No octroi on ethanol from April, says BMC

The Brihanmumbai Municipal Corporation (BMC) will waive off 7% octroi on ethanol from April 1, this year. The move, in tune with the Central policy to mix 10% ethanol with petrol, will boost import of ethanol, and help bring down the city's pollution levels.

According to the civic administration, the Petroleum ministry, at a meeting held on January 28, 2016 had asked the state government to ensure that the BMC take necessary measures to increase the import of ethanol.

Following this, the civic budget for 2016-17 proposed a waiver on octroi from ethanol. The decision, a BMC official said, compliments the civic body's comprehensive mobility plan, which aims at reducing vehicular pollution.

Civic officials claim that the income from octroi on ethanol is negligible, around Rs 15-16 lakh. Petroleum ministry says a waiver on 7% octroi can bring in 6 crore litres of ethanol to the city every year.