Context: The Union Cabinet has approved modifications to the Pradhan Mantri JI-VAN Yojana to align with the latest advancements in biofuel technologies and to attract increased investment in this sector.

About Modified Pradhan Mantri JI-VAN Yojana

• The Pradhan Mantri JI-VAN Yojana is a government scheme which aimed at promoting the production and use of advanced biofuels, specifically ethanol, to reduce environmental pollution, support farmers, create local jobs, and contribute to India’s energy security.

Recent Amendment and Extension

• The Union Cabinet has approved an amendment to this scheme, which includes:

• Extending the timeline for the scheme by five more years, making it effective until the financial year 2028-29.

• Expanding the scope to include advanced biofuels made from lignocellulosic feedstocks, such as agricultural and forestry residues, industrial waste, synthesis gas, algae, etc.

• The amendment introduces eligibility for “Bolt on” plants and “Brownfield projects.” These are projects that can leverage existing facilities and technologies to produce advanced biofuels, making them more viable and cost-effective.

• The modified scheme emphasizes innovation, giving preference to projects that propose using new technologies and different types of feedstocks (raw materials used to produce biofuels).

Benefits of the Scheme

• For Farmers: The scheme provides farmers with a remunerative income by using their agricultural residues (such as leftover stalks after harvesting) as feedstock for biofuel production.

• For Environment: It helps reduce environmental pollution by using waste materials that would otherwise be burned or discarded.

• For Employment: Local employment opportunities are created through the setting up and operation of biofuel plants.

• For Energy Security: The scheme supports India’s goal of becoming more self-reliant in energy by promoting the use of domestically produced biofuels.

• Development of technologies: The government’s focus is on supporting the development of technologies that convert surplus biomass and industrial waste into ethanol, a cleaner and more sustainable fuel alternative.