The Foundation Stone laying ceremony for setting up the first Second Generation (2G) Ethanol Bio-refinery in India was held at village Tarkhanwala, Bathinda (Punjab), with an approximate investment of Rs 600 crores. Hindustan Petroleum Corporation Limited (HPCL), a Central Government Public Sector Undertaking, is setting up the project. The Government is encouraging production of Second Generation (2G) Ethanol from agricultural residues to provide additional sources of remuneration to farmers, address the growing environmental concerns and support the Ethanol Blended Petrol (EBP) programme for achieving 10% Ethanol Blending in Petrol. The Bathinda Bio-refinery will be utilizing agriculture residues for production of 100 KL per day or 3.20 crore litres per annum of ethanol, which may be sufficient to meet the 26% of the ethanol blending requirement of the State. The proposed Bio-refinery will generate employment for about 1200 -1300 persons in the Biomass supply chain. The project shall also help in reducing CO2 emissions from the paddy straw, which currently is being burnt after harvesting. Oil PSUs are planning to set up 12 2G Ethanol Bio-refineries across 11 States viz. Punjab, Haryana, U.P., M.P, Bihar, Assam, Odisha, Gujarat, Maharashtra, Karnataka and A.P. The estimated investment for the 12 Bio-refineries is Rs 10,000 crores. These Bio-refineries shall produce around 35- 40 crore litres of Ethanol annually, thus contributing significantly towards the EBP programme.