IIT Guwahati's Bio-Methanol Breakthrough Heads to Market

A technology developed at IIT Guwahati can consume two of the world's most potent greenhouse gases and convert them into a clean, high-performing fuel that cuts engine emissions by up to 87%. A recent MoU is taking this technology towards commercialisation.

Published 28 May 2026 | Category Research and Partnerships | Office Research and Development

On 28 May 2026, IIT Guwahati signed a Memorandum of Understanding with Hyderabad-based Kaashyap Cleantech Innovations Private Limited for the large-scale commercialisation of a bio-methanol production technology.

The process, developed by Prof. Debasish Das and PhD scholar Krishna Kalyani Sahoo from the Department of Biosciences and Bioengineering, uses chemoautotrophic bacteria as a biocatalyst to convert methane and carbon dioxide into bio-methanol through a two-stage biological process.

Conventional chemical methods are energy-intensive, expensive, and generate toxic by-products. In contrast, this approach requires no chemical catalysts and operates under mild conditions, making it both cost-effective and environmentally benign.

The results from engine testing are striking. When used as a diesel-blended fuel in a four-stroke diesel engine, this bio-methanol reduced emissions by up to 87%. Crucially, the blended fuel exceeded diesel's performance in fuel consumption, energy efficiency, and overall engine performance, while maintaining comparable mechanical efficiency.

Beyond its promise as a fuel, bio-methanol is also a valuable industrial feedstock, serving as a precursor for formaldehyde, acetic acid, and other high-value chemicals. This dual utility strengthens the commercial case for the technology considerably.

The implications for Indian industry are significant. Steel, cement, and ethanol manufacturing are among the hardest sectors to decarbonise, and the technology's compatibility with the CCUS framework opens a concrete route for these industries to reduce their carbon footprint while generating usable fuel from waste gases.

The Indian Sugar and Bio-Energy Manufacturers' Association (ISMA), along with the Department of Food and Public Distribution, Government of India, have already encouraged Kaashyap to establish a pilot plant.

India currently imports a substantial share of its methanol requirements. An indigenously developed, patented biological process represents an opportunity to reduce that dependence and build domestic clean fuel capacity.

"IIT Guwahati is committed towards addressing sustainable development challenges," said Prof. Devendra Jalihal, Director, IIT Guwahati. "This technology is going to have a direct impact on two key sustainability challenges — sequestration of greenhouse gases and renewable energy — and is ready to be deployed at a large scale."

Prof. Debasish Das, the lead scientist behind the technology, added: "Our findings demonstrate a promising strategy for producing sustainable bio-methanol by harnessing bacteria capable of converting methane and carbon dioxide into fuel. In contrast to conventional biofuel technologies that rely on agricultural feedstocks, this process makes use of greenhouse gases, thereby eliminating concerns related to food resource competition."

Mr. Kiran KK, Managing Director, Kaashyap Group, noted that the technology's dual-action mechanism — producing clean fuel while actively sequestering carbon dioxide — "positions it perfectly to qualify for carbon credit schemes and accelerate our transition to a net-zero future."

For IIT Guwahati, the MoU marks a tangible step from laboratory innovation to real-world deployment — the kind of academia-industry translation that advances both the institute's research mission and the country's broader clean energy ambitions.

References:

1. Sahoo, K. K., & Das, D. (2024). Enhanced methanol production from recycled methanotrophic biomass and its effect on the emission and performance characteristics of a four-stroke compression ignition engine. Fuel (London, England), 371(132142), 132142. https://doi.org/10.1016/j.fuel.2024.132142