Page 42 - Plastics News November 2021

BUSINESS NEwS

Indian Oil And Praj Industries To Set Up Bio- Cabinet Approves

Fuel Plants Ethanol Price Hike

he government hiked the price of
Tethanol extracted from sugarcane
for blending in petrol by up to Rs 1.47
per litre for 2021-22 marketing year
starting December, as part of its target
to achieve 20 per cent doping by 2025.
A higher blending of ethanol in petrol
will help cut India its oil import bill and
also benefit sugar cane farmers as well
as sugar mills. The Cabinet Committee
on Economic Affairs (CCEA), headed
by Prime Minister Narendra Modi, gave
its approval for fixing a higher price
ndian Oil Corporation has signed portfolio. Alcohol-to-Jet Fuel presents a for ethanol derived from different
Ian MoU with Praj Industries to great opportunity that must be leveraged sugarcane-based raw materials under
explore opportunities to fast-track India's to comply with the CORSIA (Carbon the Ethanol Blended Petrol (EBP)
transition to cleaner and greener sources Offsetting and Reduction Scheme for Programme for Ethanol Supply Year
of energy by exploring avenues such as International Aviation) guidelines to (ESY) 2021-22 starting next month.
the production of Alcohol to Jet (ATJ) substantially reduce carbon emissions Information and Broadcasting Minister
fuels, 1G and 2G Ethanol, Compressed in the aviation sector. This development Anurag Thakur said the price of
Bio-Gas (CBG) and related opportunities is in line with the 'Panchamrit' agenda ethanol extracted from sugarcane
in the bio-fuels industry. Exploring these unveiled by Hon'ble Prime Minister at juice has been increased to Rs 63.45
green energy horizons will be crucial the COP26 Glasgow Summit, to fight per litre from the current Rs 62.65
for India to achieve carbon neutrality climate change and global warming." per litre for the supply year beginning
by 2070. As per the MoU, Indian Oil Dr Pramod Chaudhari, founder-
and Praj will also collaborate to set up Chairman, Praj Industries, said, "We are
bio-fuel production facilities, including delighted to partner with Indian Oil to
CBG, biodiesel and ethanol. The two increase the share of biofuels in India's
companies would also work together transportation fuel mix. Objectives of
to facilitate the sales and marketing of this overarching MoU are strategic in
various co-products and intermediates nature and encompass socio-economic-
produced from these facilities. Praj and environmental aspects related to the
Indian Oil would explore and jointly nation's growth. In a world threatened
work towards forming a 50:50 joint by climate change, the drive towards a
venture and identify partners to form low carbon economy is not an option; December 2021.The rate for ethanol
special purpose vehicles (SPVs) under the it is an obligation. Biofuels are playing a from C-heavy molasses is increased to
proposed alliance. Bio-fuels is an essential vital role in sustainable climate action." Rs 46.66 per litre from Rs 45.69 per
part of India's bio-economy and will play Praj has established itself as India's litre currently and that of ethanol from
a significant role in sustainable climate leading bio-economy company with a B-heavy to Rs 59.08 per litre from Rs
actions to help India fulfil its Nationally strong focus on driving climate actions 57.61 per litre.Indian Oil Corp (IOC),
Determined Contributions (NDCs) as across the globe. It has four decades of Bharat Petroleum Corp Ltd (BPCL)
per COP 21, Paris Summit. Shrikant experience in developing and deploying and Hindustan Petroleum Corp Ltd
Madhav Vaidya, Chairman of Indian Oil, innovative solutions for the production (HPCL), which procure ethanol from
said, "Our alliance with Praj will augment of renewable transportation fuel as part sugar mills and distilleries, will also bear
the share of biofuels in India's energy of its BioMobility technology platform. the GST and transportation cost.

42 PLASTICS NEWS NOVEMBER 2021