India is witnessing a significant shift towards biofuels, particularly ethanol, in its clean energy sector. Ethanol blending has seen a substantial increase to 18.4%, edging closer to the national target of 20%. Oil Marketing Companies (OMCs) are driving this transition by investing in biofuels, with plans to surpass current blending percentages. Indian Oil Corp is actively involved in biofuel research, focusing on Sustainable Aviation Fuel (SAF) production from Used Cooking Oil (UCO) and exploring green Hydrogen production from biomass gasification. Additionally, efforts are underway to establish 2G Ethanol plants using agricultural residues. The bio-CNG sector is also evolving under the SATAT scheme, with Indian Oil planning to set up more plants. Furthermore, the article highlights the potential of bio-Hydrogen in the transport industry, with Indian Oil spearheading research in this area. Despite facing challenges like skills, standards, waste segregation, and supply chain issues, the biofuel sector in India presents numerous opportunities in 2G Ethanol, non-food crops, and waste-to-energy initiatives. To align with the country's goal of achieving Net Zero by 2070, the focus on biofuels is crucial. Oil & Gas companies, including Indian Oil Corp, have set Net Zero targets, with plans to achieve operational Net Zero by 2046. Key areas of action for decarbonization include energy efficiency, renewable energy adoption, Green Hydrogen production, and Carbon Capture, Utilization, and Storage (CCUS). In conclusion, the emphasis on biofuels in India's energy mix is vital for the transition to a greener future and plays a critical role in decarbonizing the transport sector.