Home India Ministry of Petroleum and Natural Gas Parliament Question: Expansion of India’s Refining and Biofu...
Date: 2025-12-04 Category: Not Applicable State: Union Government Country: India

Parliament Question: Expansion of India’s Refining and Biofuel Capacity

Issued by Ministry of Petroleum and Natural Gas · Not Applicable

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Executive Summary & Key Takeaways

**Executive Summary** This document summarizes the Indian government's response to unstarred question number 742 in Lok Sabha, regarding the expansion of India's refining and biofuel capacity. It outlines the government's initiatives to increase refining capacity, promote biofuels and green energy, and strengthen long-term energy security. The document acknowledges that investment and employment potential by 2047 is currently unascertainable. **Key Points / Main Content** * **Refining Capacity Expansion:** * Current total refining capacity is 258.1 MMTPA. * Projected to increase to 309.5 MMTPA by 2030. * The Petrochemical Intensity Index (PII) of public sector oil refineries is anticipated to increase from 4.1 to approximately 9.3. * **Promotion of Biofuels, Green Hydrogen, and LNG:** * Implemented initiatives include achieving 20% ethanol blending under the Ethanol Blending Programme (EBP). * The Pradhan Mantri Jaiv Indhan-Vatavaran Anukool Fasal Awashesh Nivaran (PM JI-VAN) Yojana provides financial assistance for setting up advanced biofuel projects. * The Sustainable Alternative Towards Affordable Transportation (SATAT) scheme promotes Compressed Biogas (CBG). * Schemes like BAM (Biomass Aggregation Machinery) and DPI (Direct Pipeline Infrastructure) support biomass aggregation and connect CBG plants to existing pipelines. * The National Green Hydrogen Mission (NGHM) aims to produce 5 MMTPA of green hydrogen by 2030. * Steps are being taken to augment LNG availability, including establishing LNG infrastructure. * **Contribution to Emission Reduction and Energy Security:** * Cleaner fuels like biofuels, green hydrogen, and LNG can contribute to emission avoidance in key sectors. * Their adoption can reduce overall emission intensity and support the transition to a low-carbon economy, aligning with national climate goals. * **Investment and Employment Potential:** * The investments and employment expected to be generated through these projects by 2047 cannot be ascertained at this stage. **Impact Analysis** **Government** * **Impact:** The initiatives reflect the government's commitment to increasing refining capacity, promoting green energy, and meeting climate goals. * **Action Required:** Continue implementing and monitoring the various schemes and programs related to refining, biofuels, and green energy. **Public Sector Oil Refineries** * **Impact:** Refineries will need to adapt to the increasing Petrochemical Intensity Index (PII). * **Action Required:** Adjust refinery operations to align with the government's goals of green energy and reduced emissions. **Energy Sector** * **Impact:** The initiatives will influence the energy mix, promoting cleaner fuels and reducing reliance on traditional sources. * **Action Required:** Adapt to the changing energy landscape, invest in cleaner fuel infrastructure, and contribute to emission reduction efforts.

Key Entities Referenced

Ministry of Petroleum and Natural Gas: The Indian government ministry responsible for the exploration, production, refining, distribution, marketing, and pricing of petroleum, natural gas, and petrochemicals. Ethanol Blending Programme (EBP): An initiative aimed at achieving a 20% ethanol blend in fuel. National Green Hydrogen Mission (NGHM): A national mission to promote the production of green hydrogen in India. Pradhan Mantri Jaiv Indhan-Vatavaran Anukool Fasal Awashesh Nivaran (PM JI-VAN) Yojana: A scheme that provides financial assistance for setting up projects for advanced biofuels. Sustainable Alternative Towards Affordable Transportation (SATAT): A scheme to promote the production and usage of Compressed Biogas (CBG).
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LOK SABHA UNSTARRED QUESTION NO. 742 TO BE ANSWERED ON 04 DECEMBER 2025 EXPANSION OF INDIA’S REFINING AND BIOFUEL CAPACITY †742. SMT. MAHIMA KUMARI MEWAR: MS KANGNA RANAUT: SHRI DILESHWAR KAMAIT: SHRI MANOJ TIWARI: DR. MANNA LAL RAWAT: SMT. SHOBHANABEN MAHENDRASINH BARAIYA: SHRI CHAVDA VINOD LAKHAMSHI: SHRI CHANDRA PRAKASH CHOUDHARY: SHRI BHARTRUHARI MAHTAB: SHRI DILIP SAIKIA: पेट(cid:332)ोिलयम और (cid:366)ाकृ ितक गैस मं(cid:361)ी Will the Minister of PETROLEUM AND NATURAL GAS be pleased to state: (a) the schemes of the Government to increase India’s refining capacity and integrate petrochemical and green energy components to meet future energy requirements; (b) the details of the initiatives being implemented to promote biofuels, green hydrogen and LNG as clean alternatives within the national energy mix; (c) the manner in which these initiatives would strengthen India’s long-term energy security and commitments made under the Nationally Determined Contributions (NDCs); and (d) the estimated investment and employment potential generated through such projects by the year 2047? ANSWER पेट(cid:332)ोिलयम और (cid:366)ाकृ ितक गैस मं(cid:361)ालय म(cid:336) रा(cid:475) मं(cid:361)ी ((cid:373)ी सुरेश गोपी) MINISTER OF STATE IN THE MINISTRY OF PETROLEUM AND NATURAL GAS (SHRI SURESH GOPI) (a) & (b) 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 toincrease 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. (c) 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. (d) The investments and employment expected to be generated through such projects by 2047 cannot be ascertained at this stage. *****

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