In a landmark moment for Indo–Japanese cooperation, TruAlt Bioenergy Limited (TBL), India’s leading producer of biofuels, and Sumitomo Corporation, one of Japan’s largest integrated trading and investment groups, formally announced an ongoing discussion of a strategic bioenergy partnership during the Japan–India Next-Generation Economic Forum, held in the presence of Hon’ble Prime Minister of India Shri Narendra Modi and Hon’ble Prime Minister of Japan Mr. Shigeru Ishiba.
The agreement will mark a new milestone in the India–Japan partnership, uniting India’s ambition to achieve energy sovereignty and emerge as a global hub for biofuels with Japan’s expertise in advanced decarbonization technologies under the Joint Crediting Mechanism (JCM). It reflects the shared resolve of both nations to accelerate the goals of the Paris Agreement, enhance energy security and foster sustainable, inclusive economic growth, accroding to the press release.
The collaboration lays out a clear roadmap for investments, beginning with the development of four state-of-the-art Compressed Biogas (CBG) plants in Karnataka and Maharashtra. These projects are expected to create around 700 direct and indirect jobs and unlock an additional 800 to 1,000 livelihood opportunities. Building on this foundation, the partnership will expand into future projects in ethanol and Sustainable Aviation Fuel (SAF) sectors that are critical to India’s clean energy transition and the global decarbonization agenda. To implement this vision, a Joint Venture Company (JVC) will be established, with TruAlt Bioenergy holding 51% and Sumitomo Corporation 49%. The initiative is designed to enhance farmer incomes, drive rural industrialization, and strengthen India’s energy self-reliance, while laying the groundwork for scaled investments in ethanol and SAF in the years ahead.
The Joint Crediting Mechanism (JCM) will serve as a cornerstone of this collaboration, channeling Japan’s advanced low-carbon technologies into India’s bioenergy sector while ensuring transparent crediting of greenhouse gas (GHG) reductions. By linking investment with measurable climate outcomes, the JCM will accelerate India’s bioenergy transition, reinforce Japan’s decarbonization contributions, and strengthen both nations’ Nationally Determined Contributions (NDCs). More importantly, it sets a global precedent for how bilateral partnerships can transform climate ambition into concrete action combining technology, finance and sustainability at scale.
Vijay Nirani, Founder & Managing Director of TruAlt Bioenergy, said: “Biofuels lie at the heart of India’s quest for energy sovereignty and are integral to our Panchamrit commitments of lowering carbon intensity and expanding renewables. This partnership with Sumitomo Corporation represents the convergence of their global expertise in sustainable enterprise and TruAlt Bioenergy’s leadership in India’s biofuels sector. Anchored in the Joint Crediting Mechanism, it is designed not only to accelerate India’s clean energy transition but also to contribute meaningfully to Japan’s climate commitments. Together, we are laying the foundation for India to emerge as a global hub for biofuels while empowering farmers, strengthening rural economies and building a resilient, green future for generations to come.”
