10 KLPD 2G Ethanol Plant Feasibility Study
Ark Bio Energies Pvt. Ltd. | Ballari, Karnataka
Project At-a-Glance
This dashboard summarizes the key findings of our feasibility study. The proposed 2G ethanol plant is a technically viable, financially robust, and environmentally beneficial project, poised to capitalize on India's growing biofuel demand. Explore the key performance indicators below for a quick overview.
Projected CAPEX
₹50 Cr
Total capital expenditure
Annual Revenue
₹27.15 Cr
At steady-state operation
Internal Rate of Return (IRR)
23-25%
Indicating strong profitability
Payback Period
3.5-4 Yrs
Post-subsidy investment recovery
GHG Savings
>95%
Compared to conventional gasoline
Local Impact
100+ Jobs
Direct employment creation
Market Opportunity
India's commitment to the Ethanol Blended Petrol (EBP) program creates a massive, stable demand for ethanol. The 2G ethanol sector is a key focus for the government, providing a significant growth opportunity for projects like ours that utilize agricultural waste, ensuring energy security while supporting the rural economy.
National Ethanol Demand Data
| Year | Demand (Billion Liters) |
|---|---|
| 2025 | 10.16 |
| 2027 | 11.8 |
| 2030 | 13.5 |
Financial Deep Dive
Our financial model indicates a highly profitable venture, bolstered by strong revenues from both ethanol and by-products, manageable operational costs, and significant government incentives. Explore the cost breakdowns and use the interactive calculator to see how price fluctuations impact revenue.
Interactive Revenue Projection
Projected Ethanol Revenue
₹19.50 Cr
Total Annual Revenue
₹27.15 Cr
Total revenue includes a fixed ₹7.65 Cr from by-products like CO2 and lignin.
CAPEX Breakdown (Total: ₹50 Cr)
CAPEX Breakdown Data
| Category | Percentage |
|---|---|
| Plant & Machinery | 60% |
| Land & Site Development | 20% |
| Utilities | 10% |
| Contingencies | 10% |
OPEX Breakdown (Total: ₹15 Cr)
OPEX Breakdown Data
| Category | Percentage |
|---|---|
| Utilities/Labor | 33% |
| Feedstock | 27% |
| Enzymes/Chemicals | 20% |
| Maintenance | 20% |
Process & Impact
Our project employs a proven technological process to convert agricultural waste into valuable biofuel. This not only creates a high-value product but also generates significant positive environmental and social impacts, from reducing air pollution to boosting the rural economy in the Ballari region. Click on each process step to learn more.
Ethanol Production Process
Baling and shredding of rice straw, followed by steam explosion at high pressure and temperature to break down the complex structure.
Air Quality Improvement
Prevents stubble burning of over 50,000 tons of rice straw annually, reducing PM2.5 pollution and avoiding 30,000 tons of CO2 emissions.
Rural Economy Boost
Creates a new revenue stream for over 5,000 farmers in the Ballari region through the buy-back of agricultural waste.
Resource Efficiency
The plant is designed for 80% water recycling and will utilize lignin by-product to meet its own power requirements, ensuring a circular economy.
Risk & Mitigation
A thorough risk assessment has been conducted to identify potential challenges. Proactive mitigation strategies are in place for each identified risk, ensuring the project's stability and long-term success. Click on each risk to view the corresponding mitigation plan.
Implementation Roadmap
We have developed a clear and achievable timeline for project implementation, from final planning through to commissioning. The roadmap ensures a structured approach to meet our target of being operational by mid-2027.
Q4 2025
Finalize DPR, secure land, and initiate funding discussions.
Q1-Q2 2026
Finalize EPC contract and secure key technology partnerships.
Q3 2026 - Q1 2027
Commence construction, civil works, and machinery installation.
Q2 2027
Plant commissioning and commencement of trial runs.