Pradhan Mantri JI-VAN Yojana 2026: Advanced Biofuels, Funding & Projects

What is Pradhan Mantri JI-VAN Yojana?

The scheme was approved in February 2019 and notified in March 2019 to create commercial capacity for second-generation ethanol and other advanced biofuels from agricultural residues and other renewable feedstocks.

Its purpose is to improve the commercial viability of advanced biofuel projects, support new technology and research, reduce dependence on imported fossil fuels and create a market for crop residues and other waste biomass.

Major 2024 Amendment to PM JI-VAN

The Union Cabinet approved a major amendment on 9 August 2024. The amended scheme materially widened the original 2019 framework.

Financial Outlay and Support

The original scheme provided a total financial outlay of ₹1,969.50 crore, including:

• ₹1,800 crore for about 12 commercial-scale projects;
• ₹150 crore for about 10 demonstration-scale projects; and
• the balance for administrative and implementation-related expenditure.

The current CHT scheme page reports approved financial support of ₹1,344.25 crore for 15 approved projects.

Financial assistance is intended to address viability challenges in advanced biofuel projects where technology and feedstock logistics can make project costs materially higher than conventional ethanol production.

Eligible Projects and Feedstocks

After the 2024 amendment, the scheme can support advanced biofuel projects using eligible renewable feedstocks such as:

• agricultural residues and crop waste;
• forestry residues;
• lignocellulosic biomass;
• industrial waste;
• synthesis gas;
• algae; and
• other eligible renewable feedstocks specified under the current scheme/RFS.

Both commercial-scale and demonstration-scale projects are supported. The amended scheme also allows eligible brownfield and bolt-on projects, helping experienced developers improve viability and scale proven technology.

Approved Advanced Biofuel Projects

The CHT current scheme page lists 15 approved projects, comprising 9 commercial and 6 demonstration projects.

Earlier Government reporting identified projects associated with entities such as Indian Oil Corporation, Bharat Petroleum, Hindustan Petroleum, Numaligarh Refinery, Mangalore Refinery and Petrochemicals and other public/private developers.

The IndianOil 2G ethanol project at Panipat, Haryana was dedicated to the nation in August 2022. Other projects have been under construction, commissioning or selection stages depending on their project timelines.

Benefits of PM JI-VAN Yojana

• Reduces dependence on imported crude oil and fossil fuels.
• Supports India's energy security and self-reliance.
• Creates a commercial market for crop residues and other waste biomass.
• Provides additional income opportunities for farmers supplying agricultural residue.
• Helps address pollution caused by open burning of crop residue.
• Supports reduction of greenhouse-gas emissions.
• Promotes rural and urban employment in biomass collection, logistics and biofuel plants.
• Encourages indigenous advanced-biofuel technologies and R&D.
• Supports waste-to-wealth and Swachh Bharat objectives.
• Can support development of newer fuels, including Sustainable Aviation Fuel where eligible under the amended scheme.

Project Selection and Approval Process

The Centre for High Technology (CHT), under the Ministry of Petroleum & Natural Gas, is the implementation agency for PM JI-VAN.

Project developers seeking financial support must follow the current Request for Selection and scheme guidelines. The broad process includes:

1. submission of the proposal under the applicable CHT Request for Selection;
2. technical and financial examination under the prescribed scheme criteria;
3. review/recommendation through the Ministry's designated technical or scientific mechanism;
4. approval by the competent Steering Committee/authority; and
5. release of financial support subject to milestones, agreements and scheme conditions.

Developers should use the current RFS documents because technology, feedstock, financing, project structure and eligibility conditions have changed since the original 2019 scheme.

PM JI-VAN and India's Ethanol Blending Programme

PM JI-VAN complements the Ethanol Blended Petrol (EBP) Programme by creating additional domestic advanced-biofuel capacity from feedstocks that do not depend only on conventional sugar or grain routes.

The National Policy on Biofuels, 2018, as amended in 2022, advanced India's target of 20% ethanol blending in petrol to Ethanol Supply Year 2025-26.

Government data show that India reached 20% ethanol blending in ESY 2025-26. This represents a major change from the original page, which referred to the earlier 10% target and about 4.22% blending in 2017-18.

Advanced biofuels remain strategically important because they diversify feedstocks, support waste-to-fuel conversion and reduce dependence on food-linked ethanol sources.

Current 2026 Status

PM JI-VAN is currently active and open to further project selection under the amended framework. The CHT website, updated in 2026, lists current Requests for Selection for both commercial-scale and demonstration-scale advanced biofuel projects.

Accordingly, the scheme should not be described as having ended in 2023-24. The 2024 amendment expressly extended implementation through FY 2028-29.

Key Points to Remember

• PM JI-VAN was originally notified in March 2019.
• The scheme was significantly amended in August 2024.
• Implementation is now extended to FY 2028-29.
• The scheme covers advanced biofuels, not only 2G ethanol.
• Brownfield and bolt-on projects can now be eligible.
• The original financial outlay was ₹1,969.50 crore.
• CHT currently lists 15 approved projects with ₹1,344.25 crore approved financial support.
• India reached 20% ethanol blending in ESY 2025-26.
• Current project developers should rely on the latest CHT Request for Selection documents.