The Government intends to encourage the use of gasoline with bioethanol by introducing different excise duty rates, Deputy Director of the Oil and Gas Industry Department at the Ministry of Energy and Coal Industry of Ukraine Kostiantyn Borodin told a briefing in Kyiv on Friday.

"In 2013, the presence of bioethanol in gasoline will be advisory. The Government intends to encourage it through the introduction of various excise tax rates. If the demand or recommendation for 5% bioethanol content is met, the tax will be somewhat less, if not - it will be even more," Borodin said, UKRINFORM reports.

He said that the final decision is still pending, and is being coordinated with various ministries and departments, as well as with market participants.

Borodin also said that the mandatory addition of ethanol is envisaged in 2014 - 2015.

As reported, the energy ministry prepared a bill on gradual adding of bioethanol to the gasoline produced and sold in the territory of Ukraine. The bill provides that since 2016 the mandatory content of bioethanol in motor gasoline shall be not less than 7%.

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