India will inaugurate its first integrated bio-ethanol refinery on Friday (4 July) in Bargarh district, Odisha, marking a significant milestone in the country’s renewable energy transition.
Union Home Minister Amit Shah will inaugurate the Rs 1,775 crore refinery, which has an annual ethanol production capacity of 6. 3 crore litres.
The landmark facility, developed by Bharat Petroleum Corporation Limited, represents India’s entry into large-scale integrated biofuel production.
The Bargarh plant stands out as the first commercial facility in the country to integrate first-generation and second-generation ethanol production.
The facility has a total capacity of 200 km per day (100 KLPD each from first-generation grain-based and second-generation lignocellulosic technology using rice straw).
This dual-technology approach allows the refinery to produce ethanol from both conventional feedstocks and agricultural waste, maximising efficiency whilst reducing environmental impact.
The facility was developed under the Pradhan Mantri Jaiv Indhan-Vatavaran Anukool Fasal Awashesh Nivaran (JI-VAN) Yojana.
The plant will also be the first in India to commercially produce second-generation ethanol using paddy straw and other lignocellulosic agricultural residues.
The refinery is expected to provide substantial employment opportunities in the region. Around 15. 25 lakh man-days of direct and indirect employment were created while building the facility.
Once fully operational, the plant is expected to provide jobs to about 725 people.
The biomass supply chain linked to the refinery will generate additional employment for rural communities, fostering entrepreneurship amongst local farmers.
This development supports India’s ambitious biofuel targets and energy security goals.
The country achieved 20 per cent ethanol blending in petrol in 2025, ahead of the original 2030 target.
The ethanol produced from the plant is expected to support the Centre’s Ethanol Blended Petrol Programme (EBPP) aimed at reducing dependence on fossil fuels and promoting cleaner energy.
The Bargarh facility represents a crucial step in scaling up sustainable biofuel production across India.



