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Pradhan Mantri Ji-Van Yojana: Highlights

Published on Thursday, March 28, 2019
Pradhan Mantri Ji-Van Yojana: Highlights


  • The Cabinet Committee on Economic Affairs, chaired by Hon'ble Prime Minister Shri Narendra Modi has approved the "Pradhan Mantri JI-VAN (Jaiv Indhan- Vatavaran Anukool fasal awashesh Nivaran) Yojana" on 28th February 2019 for providing financial support to Integrated Bioethanol Projects using lignocellulosic biomass and other renewable feedstock.


  • The scheme focuses to incentivise 2G Ethanol sector and support this nascent industry by creating a suitable ecosystem for setting up commercial projects and increasing Research & Development in this area.
  • Cellulosic ethanol is ethanol (ethyl alcohol) produced from cellulose (the stringy fiber of a plant) rather than from the plant's seeds or fruit. It is a biofuel produced from grasses, wood, algae, or other plants.
  • Cellulosic ethanol is a type of biofuel produced from lignocellulose, a structural material that comprises much of the mass of plants.

Aims and Targets

  • Reducing import dependence by way of substituting fossil fuels with Biofuels
  • Achieving the GHG emissions reduction targets through progressive blending/ substitution of fossil fuels.
  • Addressing environment concerns
  • Improving farmer income
  • Creating rural & urban employment opportunities
  • Contributing to Swacch Bharat Mission

What is Bioethanol?

  • Bioethanol fuel is mainly produced by the sugar fermentation process, although it can also be manufactured by the chemical process of reacting ethylene with steam.
  • The main sources of sugar required to produce ethanol come from fuel or energy crops. These crops are grown specifically for energy use and include corn, maize and wheat crops, waste straw, willow and popular trees.
  • Lignocellulosic biomass (or LC biomass) refers to plant biomass that is composed of cellulose, hemicellulose, and lignin.

Financial Implications

  • 1969.50 crore (2018-19 to 2023-24)
    • Rs.1800, 12 Commercial projects
    • Rs.150 crore , 10 demonstration Projects
    • Rs.9.50 crore, Centre for High Technology (CHT)

Viability Gap Funding (VGF)

Phase I

  • (2018-19 to 2022-23): six commercial projects and five demonstration projects will be supported.

Phase II

  • (2020-21 to 2023-24): remaining six commercial projects and five demonstration projects will be supported.


  • The ethanol produced by the scheme beneficiaries will be mandatorily supplied to Oil Marketing Companies (OMCs) to further enhance the blending percentage under EBP Programme.
  • Centre for High Technology (CHT), a technical body under the aegis of MoP&NG, will be the implementation Agency for the scheme.
  • The Project developers interested in availing benefits of the scheme, shall be submitting their proposal for review by Scientific Advisory Committee (SAC) of MoP&NG.
  • Projects recommended by SAC shall be approved by Steering Committee of MoP&NG under the chairmanship of Secretary, MoP&NG.

Ethanol Blended Petrol (EBP) Programme

  • It was launched by the Government in 2003 on pilot basis which has been subsequently extended to the Notified 21 States and 4 Union Territories to promote the use of alternative and environmental friendly fuels.
  • It aims at blending ethanol with petrol, thereby bringing it under the category of biofuels and saving millions of dollars by cutting fuel imports.
  • Under EBP programme, OMCs are to blend upto 10% of ethanol in Petrol.

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