In September 2025, Power Finance Corporation Limited (PFC) signed a loan agreement worth Rs 3,500 crore (60 billion Japanese Yen) with the Japan Bank for International Cooperation (JBIC) to fund the Assam Bio Ethanol Private Limited (ABEPL) project. What is the target ethanol blending percentage in gasoline that this policy aims to achieve by the year 2025?

The correct answer is 20%. In News PFC and JBIC inked a Rs 3,500 crore loan pact to support Assam Bio Ethanol Pvt Ltd project advancing India’s National Policy on Biofuels targeting 20% ethanol blending by 2025. Key Points Power Finance Corporation Limited (PFC) secured financing from Japan Bank for International Cooperation (JBIC) to fund biofuel and power generation in Assam. A loan of Rs 3,500 crore or 60 billion Japanese Yen was agreed to finance Assam Bio Ethanol Pvt Ltd’s Golaghat plant. The project supports India's biofuels policy to achieve 20% ethanol blending (E20) in gasoline by 2025. India ranks as the third-largest global emitter of CO2 behind China and the USA, driving the need for cleaner energy transitions. This bioethanol plant contributes to reducing fossil fuel dependency and lowering carbon emissions in transport fuels. JBIC plays a crucial role in providing low-cost funding to promote environmentally friendly infrastructure globally. The project aligns with India’s climate commitments and renewable energy roadmap for sustainable development. Additional Information National Policy on Biofuels (NPB) aims to increase biofuel usage in transportation and industry. E20 refers to gasoline blended with 20% ethanol, targeted for widespread use in India by 2025. Assam is strategically important for energy projects due to its natural resources and agro-based feedstock availability. JBIC is a Japanese government-affiliated financial institution funding international economic cooperation projects. Clean energy financing helps India meet its commitments under the Paris Agreement on climate change. Power Finance Corporation Established in - 1986 HQ - New Delhi