IndianOil has taken a significant step in promoting Bio-Diesel as a green fuel by entering into a Memorandum of Understanding (MoU) with the Government of Chattisgarh. Subsequent to this MoU, a joint venture would be formed between IndianOil and CREDA holding 74% & 26% stake respectively. This JV will facilitate plantation of bio-crops (Jatropha) spread over one lakh hectares of wasteland, production of Biodiesel through suitable chemical processes, and blending & marketing the product through IndianOil’s network of retail stations across the State of Chattisgarh.
As part of this joint venture, IndianOil will initiate actions to support large-scale Jatropha plantation on wasteland by deploying high quality inputs, modern agricultural tools and social interventions. The MoU is in line with IndianOil’s plans to straddle the entire value chain of Biodiesel.
IndianOil’s joint venture with CREDA will set up model demonstration plantations, hubs for distribution of high quality agricultural inputs, and will deploy qualified and trained personnel at village level to provide guidance, besides establishing a modern research laboratory and training centre in the state.
It is estimated that during a period of 4-5 years, 300,000 tonnes of oil seeds will be produced every year, which will yield 300 tonnes of good quality Biodiesel daily for blending with diesel and marketing in various parts of the State. This initiative of IndianOil will go a long way in developing the State of Chattisgarh as one of the Biodiesel hubs of India.
