Cabinet Committee on Economic Affairs (CCEA) on Thursday allotted Rs 10,211 crore for the safety and maintenance works of 736 dams across the country. The CCEA also approved Ethanol purchasing policy and increased procurement prices of different levels of Ethanol products benefitting sugarcane farmers and extended the mandatory use of jute materials for packaging benefitting the jute industry.
“The CCEA chaired by Prime Minister Narendra Modi has approved the Dam Rehabilitation and Improvement Project (DRIP) Phase II & Phase III with the financial assistance of the World Bank (WB), and Asian Infrastructure Investment Bank (AIIB) to improve the safety and operational performance of selected dams across the whole country, along with institutional strengthening with system wide management approach.
“The project cost is Rs 10,211 crore. The Project will be implemented over a period of 10 years duration in two Phases, each of six years duration with two years overlapping from April, 2021 to March, 2031. The share of external funding is Rs 7,000 crore of the total project cost, and balance Rs 3,211 crore is to be borne by the concerned Implementing Agencies (IAs). The contribution of Central Government is Rs 1,024 crore as loan liability and Rs 285 crore as counter-part funding for Central Component,” said Union Minister Prakash Javadekar detailing the Cabinet meeting decisions in media briefing.
The CCEA approved fixing higher ethanol price derived from different sugarcane based raw materials under the Ethanol Blended Petrol (EBP) Programme for the forthcoming sugar season. “The price of ethanol from C heavy molasses route be increased from Rs 43.75 per lit to Rs 45.69 per litre. The price of ethanol from B heavy molasses route be increased from Rs 54.27 per lit to Rs 57.61 per litre. The price of ethanol from sugarcane juice / sugar / sugar syrup route be increased from Rs 59.48 per lit to Rs 62.65 per litre,” said Government in a statement.
“Consistent surplus of sugar production is depressing sugar price. Consequently, sugarcane farmer’s dues have increased due to lower capability of sugar industry to pay the farmers. Government has taken many decisions for reduction of cane farmer’s dues. With a view to limit sugar production in the Country and to increase domestic production of ethanol, Government has taken multiple steps ,” said Javadekar.
The CCEA also approved that 100% of the foodgrains and 20% of the sugar shall be mandatorily packed in diversified jute bags.
The decision to pack sugar in diversified jute bags will give an impetus to the diversification of the jute industry.