Indian Oil inks MoU with Praj Industries for development of 2G ethanol

October 26, 2016 5:03 am

State-run Indian Oil Corporation has signed a pact with Pune-based Praj Industries to enter into a technology partnership for setting up multiple second Generation (2G) bio-ethanol plants based on indigenously developed technology. Indian Oil will be setting up three such 2G bio-ethanol plants.

Indian Oil, like other oil marketing CPSEs, is blending biofuels in transportation fuels at the depot to bring down dependency on crude oil imports and to avail of the resultant economic and environmental benefits. In order to enhance ethanol availability in the country for blending with petrol, Indian Oil is developing 2G ethanol production infrastructure using ligno-cellulosic biomasses as feedstock.

Speaking about the collaboration, Pramod Chaudhari, Executive Chairman, Praj Industries Ltd., said, “It is a great honour for us to be chosen by Indian Oil to become their technology partner in multiple 2G bio-ethanol projects in India. We have prepared ourselves to execute 2G ethanol projects over Rs 3,000 crore in two-three years.”

He further added, “Praj is offering end-to-end 2G ‘Smart Bio-refinery’ solutions globally. Our ‘Smart Biorefinery’ is capable of producing bio-ethanol and other co-products such as bio-CNG, power and a variety of biochemicals”.

At the World Bio-fuels Day conference held at New Delhi recently, the Government of India had announced that a ‘biomass-based bio-fuels policy’ is in the offing to give boost to the agro-economy and to promote clean, renewable energy. This endeavour will be a socio-economic and environmental enabler as the farming community will generate additional revenues from agri-waste, which will be utilised to produce bio-ethanol.