The minister of Bihar State Industries, launched the Ethanol Production Promotion Policy, 2021 on March 19, 2021. After the approval of the policy by the state cabinet, Bihar became the first state in India to have an ethanol promotion policy under the National Policy of Biofuels, 2018. The policy will allow the extraction of ethanol, which was earlier restricted to sugarcane, from surplus quantities of the maze as well. An investor will also get an additional government subsidy of 15% of the cost of the plant as well as machinery up to a maximum of Rs. 5 crores. It will be in addition to the existing incentives under the Bihar Industrial Investment Promotion Policy, 2016.
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