Wednesday, November 10, 2021

Praj and IOC ink biofuel, aviation fuel agreement

Pune: City-based chemicals and energy firm Praj Industries and state-owned Indian Oil Corporation (IOC) have inked a memorandum of understanding to develop energy solutions in a number of sectors, such as aviation fuel, ethanols of various grades, as well as compressed biogas, and other biofuels.

Praj and IOC are already collaborating on a number of projects, with Praj helping the latter set up a second-generation ethanol plant at Panipat in Haryana, as well as a waste-water treatment plant at IOC’s Dumad facilities.

The agreement was signed by the Praj founder and chairman Pramod Chaudhari, and IOC chairman SM Vaidya. The MoU is largely focused on developing alcohol-to-jet (ATJ) fuels — a cleaner solution for aviation fuels. The use of ATJ is also in line with mandates regarding clean fuels in aviation from the International Air Transport Association (IATA), the parties said in a statement.

“The deal will augment the share of biofuels in India’s energy portfolio. ATJ fuel presents a great opportunity that must be leveraged to comply with the CORSIA (Carbon Offsetting and Reduction Scheme for International Aviation) guidelines to substantially reduce carbon emissions in the aviation sector,” said Vaidya in a statement.

The memorandum of understanding is also aimed at developing 50:50 joint ventures and special purpose vehicles in segments such as compressed biogas, ethanol, and biodiesel. Under the ventures and SPVs, the parties have also agreed to set up new production facilities for these alternative fuels.

10/11/21 Shiladitya Pandit/Times of India

To Read the News in full at Source, Click the Headline


Post a Comment