Paraguay and Brazil put Plans in Motion to Increase Ethanol Blends

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Researched by Industrial Info Resources (Sugar Land, Texas)--Paraguay has taken a historic step in the energy transition and become the first country in the world to establish a mandatory minimum ethanol blend of 30% in gasoline.

The measure took effect this month and not only establishes the new ethanol percentage but also prohibits the use of fantasy brand names in fuel sales, a practice that, according to the government, has misled consumers. Additionally, the regulation imposes a drastic reduction in the use of methyl tert-butyl ether (MTBE), a petroleum-derived gasoline additive that is believed to have potentially harmful health effects, allowing only 1% in the final fuel composition.

It is also believed that the measure, by increasing ethanol content, will boost the agro-industrial sector by promoting the local production of sugarcane and corn, the main raw materials for biofuel production, while also avoiding price increases for consumers.

Brazil also is moving forward with energy transition efforts by approving a testing protocol to increase its anhydrous ethanol blend in gasoline from 27% to 30%. Government officials estimate that the approval of E30 fuel would lead to an overall investment of R$9 billion (US$1.59 billion) in ethanol distillery investments.

Industrial Info is tracking 212 ethanol plants in Brazil and Paraguay alongside 1,170 projects worth US$21.95 billion. Subscribers to Industrial Info's Global Market Intelligence (GMI) Alternative Fuels Plant and Project databases can click here for the plant profiles and click here for the project reports.

Industrial Info Resources (IIR) is the leading provider of industrial market intelligence. Since 1983, IIR has provided comprehensive research, news and analysis on the industrial process, manufacturing and energy related industries. IIR's Global Market Intelligence (GMI) helps companies identify and pursue trends across multiple markets with access to real, qualified and validated plant and project opportunities. Across the world, IIR is tracking more than 200,000 current and future projects worth $17.8 Trillion (USD).