The government of India has recently made it mandatory for oil marketing companies to blend 5% ethanol with petrol. Which of the following is/are the likely consequence/consequences of the policy? 1. Lower Indias dependence on the fossil oil 2. Reduce fue

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QN: (CDS-I/)
The government of India has recently made it mandatory for oil marketing companies to blend 5% ethanol with petrol.
Which of the following is/are the likely consequence/consequences of the policy?
1. Lower Indias dependence on the fossil oil
2. Reduce fuel import bill select the correct answer using the code given below.

question_subject: 

Current Affairs

question_exam: 

CDS-I

stats: 

0,45,17,3,8,45,6

keywords: 

{'fuel import bill': [0, 0, 0, 1], 'lower indias dependence': [0, 0, 0, 1], 'petrol': [2, 0, 1, 5], 'likely consequence': [0, 0, 0, 3], 'fossil oil': [0, 0, 0, 1], 'oil marketing companies': [0, 0, 0, 1], 'policy': [0, 0, 0, 1], 'consequences': [1, 0, 0, 5]}

The correct answer is option 3: both 1 and 2. Let`s analyze each option to understand why it is correct.

Option 1: Lower India`s dependence on fossil oil - This is likely to be a consequence of the policy. By blending ethanol with petrol, the government is encouraging the use of renewable energy sources like ethanol. This will reduce the consumption of fossil oil and promote the use of alternative fuels.

Option 2: Reduce fuel import bill - This is also likely to be a consequence of the policy. Blending ethanol with petrol reduces the amount of petrol required, reducing the need for imports. As a result, the fuel import bill is likely to decrease.

Therefore, both option 1 and option 2 are correct. The policy of blending ethanol with petrol is expected to lower India`s dependence on fossil oil and reduce the fuel import bill.