A $56.8 million (INR 5,000 crore) bamboo-based ethanol plant has been set up at Numaligarh in Assam’s Golaghat district. Implemented by Assam Bio Ethanol (ABEPL) under the PM-Ji-VAN Yojana, the ‘zero-waste’ facility can process five lakh tonnes of bamboo annually to produce 50,000 tonnes of ethanol, along with high-value derivatives such as furfural, acetic acid, biochar, activated carbon, and 25 MW of green electricity.
The project is expected to generate nearly 75,000 man-days of employment each year, while ensuring steady income for bamboo cultivators and tribal families, with annual procurement worth $22.72 million (INR 200 crore).
Designed to be energy self sufficient and carbon neutral, it is described as world’s first second generation bioethanol plant using bamboo as feedstock. PM Modi also laid foundation stone for a $82.1 million (INR 7,230 crore) polypropylene plant at the Numaligarh Refinery. The Polypropylene Plant, licensed by Lummus Novolen Technology GmbH, will have a capacity of 360 KTPA and is targeted for commissioning by 2028. The event was also attended by Assam Chief Minister Himanta Biswa Sarma, Union Ministers Sarbananda Sonowal and Hardeep Singh Puri, along with other dignitaries.
Energy Security for Atmanirbhar Bharat
During the inauguration, PM Modi noted that the Bioethanol plant is a step toward ensuring energy security, while promoting clean energy and reduce dependence on fossil fuels. He also said, it would benefit local farmers and tribal communities as government will assist them in growing and procuring the products to ensure a win win situation. He highlighted the importance of polypropylene in daily life, from packaging materials to medical kits and automotive components. He stated that polypropylene plant will reduce India’s polypropylene import dependency by 20 per cent, promoting ‘Make in Assam’ but also strenghtening ‘Make in India’, boosting industrial capacity of the region.
India is one of the fastest-growing economies in the world now. Our energy needs have been increasing with our Viksit Bharat dream. We spend crores of rupees on imports as we are dependent on other countries for energy. We want to change this by trying to achieve self-sufficiency in energy.
He further added that the petroleum products from Assam are boosting the pace of development in India and government is committed to expand its strength. He linked inauguration of new facility with national initiatives, including the Semiconductor Mission under which a $306.72 million (INR 27,000) crore semiconductor factory is coming up in Assam’s Morigaon. He hailed Assam as an upcoming hub for high tech and energy related industries while also preserving its cultural and historical heritage. These investments in Assam underline Government’s commitment to Atmanirbhar Bharat, energy security, and sustainable industrial development.
Ethanol Fuels Industrial Potential
In 2014 Ethanol blending in petrol was at just 1.53%, and by 2022, India achieved a 10% blending rate, five months ahead of schedule. Following this development original target of 20 per cent blending (E20) by 2030 was advanced to 2025, which has already been completed in the ongoing ethanol supply year (ESY). The commencement of operations at the bamboo based ethanol plant marks an major step toward boosting green energy and rural livelihoods in Assam.
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It will also generate substantial gains for Pharma API industry, producing not only fuel grade ethanol but high purity ethanol suitable for industrial and pharmaceutical applications. The new plant will also produce 11,000 tonnes of acetic acid, 19,000 tonnes of furfural, and 31,000 metric tonnes of food grade liquid carbon dioxide. By creating a local supply of bio based raw materials, the plant supports industrial growth, while promoting renewable energy adoption and sustainable production practices.
During his visit, PM Modi aslo laid the foundation stone for several important projects, including the Darrang Medical College and Hospital, the General Nursing and Midwifery (GNM) School, and a Bachelor of Science (B.Sc.) Nursing College in Darrang district.
