Pradhan Mantri JI-VAN (Jaiv Indhan- Vatavaran Anukool fasal awashesh Nivaran) Yojana aims to provide financial support to Integrated Bioethanol Projects using lignocellulosic biomass and other renewable feedstock.
Centre for High Technology (CHT), a technical body under the aegis of Ministry of Petroleum and Natural Gas (MoP&NG), will be the implementation Agency for the scheme.
Government of India launched Ethanol Blended Petrol (EBP) programme in 2003 for undertaking blending of ethanol in Petrol to address environmental concerns due to fossil fuel burning, provide remuneration to farmers, subsidize crude imports and achieve forex savings. Ministry of Petroleum & Natural Gas has targeted to achieve 10% blending percentage of Ethanol in petrol by 2022. Presently, EBP is being run in 21 States and 4 UTs of the country.
Under EBP programme, OMCs are to blend upto 10% of ethanol in Petrol. In order to meet 10% ethanol blending target with a projected demand for petrol in 2021-22, about 450 crore litres of ethanol would be required. The estimated production of bioethanol in the country is around 300 crore litres, a large part of which is required for potable alcohol and chemical industries and the balance is used for Ethanol Blending Petrol (EBP) programme.
The present policy allows procurement of ethanol produced from molasses and non-food feed stock like celluloses and lignocelluloses material including petrochemical route.
Despite efforts of the Government such as higher ethanol prices and simplification of ethanol purchase system, the highest ever ethanol procurement stands around 150 crore litres during Ethanol supply year 2017-18 which is sufficient for around 4.22% blending on Pan India basis. Therefore, an alternate route viz. Second Generation (2G) Ethanol from biomass and other wastes is being explored by MoP&NG to bridge the supply gap for EBP programme. In this direction, "Pradhan Mantri JI-VAN Yojana" is being launched as a tool to create 2G Ethanol capacity in the country and attract investments in this new sector.
The current scheme envisages setting up of 12 Commercial scale Second Generation (2G) Bioethanol projects and 10 demonstration scale 2G Bioethanol projects based on non-food biomass feedstocks and other renewable feedstocks. The objectives of the scheme are given below:
The JI-VAN Yojana will be supported with total financial outlay of Rs.1969.50 crore for the period from 2018-19 to 2023-24. Out of scheme fund of Rs.1969.50 crore, Rs.1800 crore has been allocated for supporting 12 Commercial projects, Rs.150 crore has been allocated for supporting 10 demonstration Projects and remaining Rs.9.50 crore will be provided to Centre for High Technology (CHT) as administrative charges.
Under this Yojana, 12 Commercial Scale and 10 demonstration scale Second Generation (2G) ethanol Projects will be provided a Viability Gap Funding (VGF) support in two phases:
The Project developers interested in availing benefits of the scheme, shall be submitting their proposal for review by Scientific Advisory Committee (SAC) of MoP&NG. Projects recommended by SAC shall be approved by Steering Committee of MoP&NG under the chairmanship of Secretary, MoP&NG.
The ethanol produced by the scheme beneficiaries will be mandatorily supplied to Oil Marketing Companies (OMCs) to further enhance the blending percentage under EBP Programme.
Apart from supplementing the targets envisaged by the Government under EBP programme, the scheme will also have the following benefits:
To access the complete scheme guidelines, click here.
Source : Ministry of Petroleum & Natural Gas.
Last Modified : 9/28/2022
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