The Indian government has been strengthening its Ethanol-Blended Petrol (EBP) program in an effort to become more self-sufficient in the energy sector in a sustainable manner. Presently, Indian ethanol producers and oil marketing companies (OMCs) are striving to achieve a 20% ethanol blending target nationwide by 2025–2026, which calls for more than 1000 crore liters of ethanol. Apart from being renewable, ethanol when blended with petrol is also a better fuel for the environment than regular fossil-based petrol. Over the past few years, the country has witnessed a notable expansion in the ethanol sector, with over 100 new distilleries, and marked the capacity of 1623 crore liters by 2023–2024. The Indian government’s diversification of feedstocks allows producers to ferment ethanol from a variety of sources, including sugarcane juice, syrup, starchy grains like surplus rice, maize, and damaged food grains, in addition to molasses, which was previously the primary raw material for bioethanol production. This allows flexibility for the producers to produce 1G ethanol. The work has also been done and is still being done in the area of 2G ethanol, which uses lignocellulosic feedstocks such as agro-residues to ferment fuel-grade ethanol.