Bengaluru: TruAlt Bioenergy Limited has secured financial assistance of Rs 150 crore under the Government of India’s PM JI-VAN Yojana for its proposed commercial-scale Sustainable Aviation Fuel (SAF) project in Bagalkot, Karnataka. The approval marks a significant step in the company’s expansion into advanced biofuels and supports India’s broader ambitions to develop a domestic sustainable aviation fuel ecosystem.
The approval was granted by the Centre for High Technology (CHT) under the Ministry of Petroleum and Natural Gas (MoPNG). According to the company, the financial assistance is expected to cover approximately 7 to 10 per cent of the project’s capital expenditure, improving project viability and accelerating the development of indigenous SAF production capacity.
The development comes at a time when India is intensifying efforts to promote cleaner fuels, strengthen energy security and reduce carbon emissions across sectors, including aviation.
PM JI-VAN Yojana supports advanced biofuel projects
The PM JI-VAN Yojana, formally known as Jaiv Indhan–Vatavaran Anukool Fasal Awashesh Nivaran Yojana, is a flagship initiative of the Government of India aimed at encouraging the commercialisation of advanced biofuels.
The scheme provides financial support to projects that utilise renewable feedstocks, agricultural residues and innovative technologies to produce low-carbon fuels. The programme seeks to address multiple national priorities, including reducing dependence on fossil fuel imports, improving rural incomes, managing agricultural waste and advancing climate goals.
By supporting projects such as TruAlt’s SAF facility, the government aims to strengthen India’s biofuel industry and promote the adoption of cleaner energy alternatives.
Proposed SAF facility to produce 10 crore litres annually
TruAlt’s proposed Sustainable Aviation Fuel facility in Bagalkot will have a planned production capacity of 10 crore litres per annum. Once operational, the facility is expected to become one of the significant contributors to India’s emerging SAF production ecosystem.
Sustainable Aviation Fuel is considered one of the most effective pathways for reducing carbon emissions in the aviation sector. Unlike conventional jet fuel, SAF is produced from renewable feedstocks and can significantly lower lifecycle greenhouse gas emissions.
The company said the project will contribute to the development of indigenous low-carbon aviation fuel production while reducing reliance on imported fossil fuels. It is also expected to support India’s long-term net-zero commitments and energy transition objectives.
Supporting India’s aviation decarbonisation goals
The project aligns closely with India’s efforts to decarbonise its aviation sector through the adoption of sustainable fuels.
India has announced SAF blending targets of 1 per cent by 2027, 2 per cent by 2028 and 5 per cent by 2030. The Bagalkot facility is expected to play an important role in helping the country meet these targets by creating domestic production capacity and reducing supply constraints.
The project also supports global aviation decarbonisation initiatives under the Carbon Offsetting and Reduction Scheme for International Aviation (CORSIA), a framework developed to reduce carbon emissions from international flights.
As airlines worldwide increase their demand for sustainable aviation fuels, India’s efforts to build domestic production capabilities could position the country as a competitive participant in the global SAF market.
TruAlt highlights long-term energy opportunities
Commenting on the development, Managing Director Vijay Nirani said the project represents much more than the construction of a new facility.
According to Nirani, sustainable aviation fuel is expected to become a critical component of the future energy landscape as countries and industries work towards reducing carbon emissions. He noted that the company remains focused on developing indigenous solutions that strengthen India’s energy security while supporting environmental goals.
He also expressed gratitude to the Government of India for supporting innovation and enabling the commercialisation of next-generation biofuel technologies.
The company believes India has the potential to emerge as a global hub for sustainable fuels and clean energy technologies as demand for low-carbon energy solutions continues to rise.
Strengthening a domestic SAF value chain
The SAF project is expected to contribute significantly to the development of a domestic sustainable aviation fuel value chain.
TruAlt plans to leverage its expertise in large-scale biofuel production, feedstock management and renewable energy operations to support the facility’s success. The company has built extensive capabilities across the biofuels sector and views SAF as a key area for future growth.
The financial assistance approved under the PM JI-VAN Yojana will be released in stages based on project milestones and the terms outlined in the Memorandum of Agreement to be executed with the Centre for High Technology.
The milestone-based funding structure is intended to ensure efficient project execution while supporting timely development.
TruAlt expands beyond ethanol production
TruAlt Bioenergy has emerged as one of India’s leading integrated biofuel companies. The company currently operates with an installed ethanol production capacity of 2,000 kilolitres per day (KLPD), making it one of the country’s largest ethanol producers.
Over the years, the company has expanded its presence across the biofuels value chain and continues to diversify into emerging renewable energy segments. Its portfolio now includes ethanol, compressed biogas (CBG), sustainable aviation fuel and other future fuel technologies.
As India accelerates its transition towards cleaner energy sources, investments in advanced biofuels are expected to play an increasingly important role in reducing emissions and strengthening energy independence.
The approval of Rs 150 crore under the PM JI-VAN Yojana represents a major boost for TruAlt’s SAF ambitions and underscores the growing importance of sustainable aviation fuels in India’s clean energy roadmap.