Second Generation (2G) Ethanol

With an objective to augment ethanol supplies, the Government allowed procurement of ethanol produced from other non-food feedstock besides molasses, like cellulosic and lignocellulosic materials including petrochemical route. Oil PSUs have planned to establish 2G ethanol bio-refineries in various parts of the country.

Further, Government has launched “Pradhan Mantri JI-VAN (Jaiv Indhan- Vatavaran Anukool fasal awashesh Nivaran) Yojana” for providing viability gap funding to provide initial thrust to create 2G ethanol capacity in the country and attract investment in this sector. In this scheme, financial support to twelve Integrated Bio-ethanol Projects using lignocellulosic biomass & other renewable feedstock with total financial outlay of Rs 1969.50 crore for the period 2018-19 to 2023-24.

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