The government is planning to come out with a policy to revive closed sugar mills by using their land for ethanol production, Union Minister Nitin Gadkari said.
The minister said land of the sugar mill can be utilized for ethanol production from sugar, sugarcane juice and molasses and a policy will be framed soon.
He said there was an agreement with multilateral banks like KfW for low-cost funds green energy.
He further said that ethanol production through sugar could boost the economy of sugarcane-producing states like Uttar Pradesh, Bihar, Maharashtra, Punjab and Haryana.
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