**Executive Summary**
The Ministry of Petroleum & Natural Gas released a document outlining the government's efforts to expand refining capacity, promote biofuels, green hydrogen, and LNG. The current refining capacity is 258.1 million Metric Tonne Per Annum (MMTPA) and is projected to increase to 309.5 MMTPA by 2030. The National Green Hydrogen Mission (NGHM) aims for 5 MMTPA green hydrogen production by 2030.
**Key Points / Main Content**
* **Refining Capacity Expansion:**
* Current refining capacity is 258.1 MMTPA.
* Projected increase to 309.5 MMTPA by 2030.
* Petrochemical Intensity Index (PII) of public sector oil refineries is anticipated to increase from 4.1 to approximately 9.3 upon completion of ongoing and planned refinery projects.
* **Biofuel Promotion:**
* Initiatives include achieving 20% ethanol blending under the Ethanol Blending Programme (EBP).
* Broadening the scope of feedstock to enhance the availability of ethanol.
* Pradhan Mantri Jaiv Indhan-Vatavaran Anukool Fasal Awashesh Nivaran (PM JI-VAN) Yojana launched to provide financial assistance for advanced biofuel projects, including Sustainable Aviation Fuel (SAF).
* Sustainable Alternative Towards Affordable Transportation (SATAT) scheme launched for Compressed Biogas (CBG).
* Biomass Aggregation Machinery (BAM) and DPI (Direct Pipeline Infrastructure) introduced to support biomass aggregation and connect CBG plants to existing pipelines.
* **Green Hydrogen and LNG:**
* National Green Hydrogen Mission (NGHM) launched with the objective of 5 MMTPA green hydrogen production by 2030.
* Steps taken to augment the availability of LNG, including establishing LNG infrastructure such as LNG terminals and stations.
* **Emission Reduction:**
* Cleaner fuels (biofuels, green hydrogen, LNG) can reduce emissions in sectors like transport, cement, iron, and steel.
* Adoption of these fuels supports a low-carbon economy, aligning with national and international climate commitments.
**Impact Analysis**
**Oil Refineries**
* **Impact:** Anticipated increase in the Petrochemical Intensity Index (PII) upon completion of ongoing and planned refinery projects.
* **Action Required:** Completion of ongoing and planned refinery projects to contribute to an increase in PII.
**Biofuel Producers**
* **Impact:** Access to financial assistance for setting up advanced biofuel projects, including Sustainable Aviation Fuel (SAF).
* **Action Required:** Utilize Pradhan Mantri Jaiv Indhan-Vatavaran Anukool Fasal Awashesh Nivaran (PM JI-VAN) Yojana to secure financial assistance.
**CBG Plant Operators**
* **Impact:** Support for biomass aggregation and connection to the existing pipeline network.
* **Action Required:** Utilize BAM and DPI schemes to support biomass aggregation and connect CBG plants to existing pipelines.
**Various Sectors (Transport, Cement, Iron, Steel)**
* **Impact:** Opportunity to reduce emissions by adopting cleaner fuels (biofuels, green hydrogen, and LNG).
* **Action Required:** Transition to cleaner fuels to align with national and international climate goals.
Key Entities Referenced
Liquefied Natural Gas (LNG): A natural gas initiative to promote cleaner fuels.
National Green Hydrogen Mission (NGHM): A mission launched with the objective of producing 5 MMTPA of green hydrogen by 2030.
Ethanol Blending Programme (EBP): An initiative aimed at achieving 20% ethanol blending.
Pradhan Mantri Jaiv Indhan-Vatavaran Anukool Fasal Awashesh Nivaran (PM JI-VAN) Yojana: A yojana launched to provide financial assistance for setting up projects for advanced biofuels.
Sustainable Alternative Towards Affordable Transportation (SATAT): A scheme launched for the promotion of Compressed Biogas (CBG).
Ministry of Petroleum & Natural Gas
Government Expands Refining Capacity, Boosts
Biofuel & Green Hydrogen Mission
प्रव तथ: 01 DEC 2025 4:38PM by PIB Delhi
The current total refining capacity of the country is 258.1 million Metric Tonne Per Annum (MMTPA)
which is projected to increase to 309.5 MMTPA by 2030. Alongside, the overall Petrochemical Intensity
Index (PII) of the public sector oil refineries is anticipated to increase from 4.1 to approximately 9.3 upon
completion of ongoing and planned refinery projects. Government has implemented various initiatives to
promote biofuels, green hydrogen, and Liquefied Natural Gas (LNG), which inter-alia include achieving
20% ethanol blending under the Ethanol Blending Programme (EBP), and broadening the scope of
feedstock to enhance the availability of ethanol. The Pradhan Mantri Jaiv Indhan-Vatavaran Anukool Fasal
Awashesh Nivaran (PM JI-VAN) Yojana has been launched to provide financial assistance for setting up
projects for advanced biofuels, including Sustainable Aviation Fuel (SAF). For the promotion of
Compressed Biogas (CBG), the Sustainable Alternative Towards Affordable Transportation (SATAT)
scheme has been launched, and schemes like BAM (Biomass Aggregation Machinery) and DPI (Direct
Pipeline Infrastructure) have been introduced to support biomass aggregation and to connect CBG plants
to the existing pipeline network. National Green Hydrogen Mission (NGHM) has been launched with the
objective of production of 5 MMTPA green hydrogen by 2030. Government has also taken various steps
to augment the availability of LNG for various sectors which, inter-alia, includes establishment of LNG
infrastructure including LNG terminals and LNG stations.
Cleaner fuels such as biofuels, green hydrogen, and LNG have the potential to contribute to emission
avoidance across key sectors, including transport and other critical, hard-to-abate industries like cement,
iron and steel. Their adoption has the potential to contribute to the reduction of overall emission intensity
and supports the transition to a low-carbon economy, thereby aligning with national climate goals and
international commitments.
This information was given by the MINISTER OF STATE IN THE MINISTRY OF PETROLEUM AND
NATURAL GAS SHRI SURESH GOPI, in a written reply in Rajya Sabha today.
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