Press Information Bureau
Government of India
Ministry of Petroleum & Natural Gas
23-December-2016 14:15 IST
First 2G (Second Generation) Ethanol Bio-refinery in India to be set up at Bathinda (Punjab); Foundation Stone laying ceremony to be held on 25th December, 2016

The Foundation Stone laying ceremony for setting up the first Second Generation (2G) Ethanol Bio-refinery in India is being held on 25th December, 2016 at village Tarkhanwala, Bathinda (Punjab), with an approximate investment of Rs 600 crores.  Hindustan Petroleum Corporation Limited (HPCL), a Central Government Public Sector Undertaking, is setting up the project.

 Minister of Food Processing Industries, Smt. Harsimarat Kaur Badal, Minister of State (I/C) Petroleum & Natural Gas, Shri Dharmendra Pradhan, and Deputy Chief Minister of Punjab, Sardar Sukhbir Singh Badal shall jointly lay the Foundation Stone.

 The Government of India is encouraging production of Second Generation (2G) Ethanol from agricultural residues to provide additional sources of  remuneration to farmers, address the growing environmental concerns and support the Ethanol Blended Petrol (EBP) programme for achieving 10% Ethanol Blending in Petrol.

 The Bathinda Bio-refinery will be utilizing agriculture residues for production of 100 KL per day or 3.20 crore litres per annum of ethanol which may be sufficient to meet the 26% of the ethanol blending requirement of the State. The proposed Bio-refinery will generate employment for about 1200 -1300 persons in the Biomass supply chain and generate an additional income of approximately Rs 20 crores per annum for the farmers through purchase of their agriculture residues. The project shall also help in reducing CO2 emissions from the paddy straw which currently is being burnt after harvesting.

 One of the major outputs of this Bio-refinery shall be Bio-fertilizer approximating 30,000 tonnes per annum which shall be incorporated into the soil for improving soil fertility and overall productivity of farms in Punjab. The Bio-refinery shall also produce more than 1.00 lakh Kg of Bio-CNG per annum which can cater to transport and clean cooking requirements.

 Oil PSUs, in line with vision laid down by Government of India, are planning to set up twelve (12) 2G Ethanol Bio-refineries across 11 States viz. Punjab, Haryana, U.P., M.P, Bihar, Assam, Odisha, Gujarat, Maharashtra, Karnataka and A.P.

 The estimated investment for the 12 Bio-refineries is Rs 10,000 crores. These Bio-refineries shall produce around 35- 40 crore litres of Ethanol annually, thus contributing significantly towards the EBP programme.

 Recently, in Petrotech-2016 on 07.12.2016, Oil PSUs also entered into 6 MoUs with Technology licensors and State Governments for setting up Bio-refineries in Dahej (Gujarat), Panipat (Haryana), Bina (M.P.), Bargarh (Odisha) and Bathinda (Punjab).

 The Bio-refinery at Bathinda is the first step towards achieving 10% blending of Ethanol in petrol. Similar 2G Bio-refineries at other places are expected to be started soon.