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15th September 2025 (15 Topics)

Bamboo-Based Ethanol Plant

Context

Prime Minister inaugurated the world’s first bamboo-based ethanol plant in Golaghat, Assam, along with laying the foundation of a ?7,230 crore polypropylene project at Numaligarh Refinery.

Significance of the Plant

  • World’s first zero-waste bamboo-based bioethanol plant.
  • Joint venture of Numaligarh Refinery Limited (NRL), Fortum (Finland), and Chempolis OY.
  • Utilises five lakh tonnes of bamboo annually sourced from Assam, Arunachal Pradesh, and other Northeast states.

Production Capacity

  • 48,900 tonnes ethanol, 11,000 tonnes acetic acid, 19,000 tonnes furfural, and 31,000 tonnes food-grade CO? annually.
  • Strengthens the Ethanol Blending Programme (EBP) to reduce fossil fuel dependence and cut crude oil import bills.

Economic and Social Impact

  • Expected to boost Assam’s rural economy by ?200 crore yearly.
  • Generates employment for farmers and tribal communities engaged in bamboo cultivation.
  • Enhances energy self-sufficiency in line with the Viksit Bharat

Policy and Legal Angle

  • Bamboo, though taxonomically a grass, was earlier treated as a tree under the Indian Forest Act, 1927, restricting its felling and transport.
  • The 2017 amendment reclassified bamboo as grass, enabling its wider commercial use.

Strategic Relevance

  • Supports India’s targets of 20% ethanol blending by 2025 under the National Policy on Biofuels (2018, amended 2022).
  • Aligns with India’s clean energy goals and energy security agenda.

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