Updated on Thursday, December 18, 2008, 00:00 IST

New Delhi, Dec 18: Oil marketing companies (OMCs) are finding that blending of petrol with ethanol is not commercially viable, Minister of State for Petroleum Dinsha Patel told the Lok Sabha on Thursday.

Replying to supplementaries during Question Hour, he said purchase of ethanol at Rs 28 per litre, a price demanded by the sugar industry, is "not feasible".

"We are unable to purchase ethanol as there is a demand for increasing the rate to Rs 28 per litre from Rs 21.50 per litre," he said.

Government had directed OMCs to sell five per cent ethanol blended petrol (EBP) subject to commercial viability as per the Bureau of Indian Standards specifications across the country, Patel said.

At present out of the 20 states and four Union Territories, five per cent EBP programme is being implemented in 14 states and UTs, he said.

As per the existing bio-diesel purchase policy, five per cent bio-diesel can be blended with High Speed Diesel; Patel said adding that public sector OMCs have not been able to purchase bio-diesel at the identified purchase centres so far as the parties who have expressed interest are not willing to supply at the declared price of Rs 26.50 per litre.

In reply to a separate question, Minister of State for Railways R Velu told the Lok Sabha that a total of 66 distressed bridges exist on Indian Railways system.

As many as 899 distressed bridges have been rehabilitated, rebuilt, strengthened since 2001-02 including 22 this year till November, Velu said.

Bureau Report