The objectives of IFRD are mainly focused on:

1. Utilizing the existing traditional and commercial fuels more efficiently by improving the efficiencies of different burning devices commonly used in the country, for its conservation, reduction of the emission of green house gases in the environment and to check the health hazards of the users.

2. Assessing the fast growing plants for rapid production of biomass and studying the methodology for efficient land management

3. Acquiring better technology for production of biogas by utilizing biomass and other organic wastes for generation of electricity with a view to improve the socio-economic condition of the rural people.

4. Developing appropriate technologies for utilization of new and renewable sources of energy, e.g. solar, wind and hydro.

5. Conversion of crude oil into high octane gasoline without using TEL and production of different petrochemicals from natural gas.

6. Studying the environmental pollution caused by the emission of smoke & other poisonous gases from automobile & industries.

7. Analyzing different commercial products used as fuels and allied products supplied by different local industries and other producers.

8. Dissemination different technologies innovated by the institute through pilot scale projects and pursuing "Loop Research" for rapid acceptance of technologies by the users.