Indian Oil Corporation and Praj Industries have signed a term sheet to advance plans to strengthen biofuels production capacities in India. As per the understanding, the partners will work towards promotion of various biofuels including Sustainable Aviation Fuel (SAF), Ethanol, Compressed Bio-Gas (CBG), Biodiesel and Bio-bitumen among others.
It was in October 2021, both the companies had entered into an agreement to form a 50:50 JV to this end.
Shrikant Madhav Vaidya, Chairman, Indian Oil, said, “The collaboration with an Indian biofuel major – Praj, is a remarkable milestone in Indian Oil’s green energy transition journey. It will strengthen our resolve to achieve our goal of net-zero operational emissions by 2046 and maintain our leadership in the green energy domain.”
Reducing crude import
He further stated that India being an agrarian economy, offers the advantage of sufficient availability of feedstock. The indigenous biofuels will be a game changer in helping India chart its decarbonisation journey. Biofuels offer a win-win situation by reducing dependence on crude imports, boosting the rural economy, and offering sustainable, cleaner mobility options.
Dr. Pramod Chaudhari, Founder and Chairman, Praj Industries said, ” Indian Oil and Praj have been collaborating to facilitate India’s energy transition towards a greener future in the past as well. The nation’s first-of-its-kind advanced biofuels refinery at Indian Oil’s Panipat complex is based on Praj’s proprietary 2G technology. This year in May, Indian Oil and Praj partnered with AirAsia India and flew India’s first-ever commercial passenger flight powered by a blend of ‘indigenous’ Sustainable Aviation Fuel.”
Biofuels positively impact the socio-economic and environmental aspects thereby facilitating sustainable development. In pursuit of energy self-reliance by leveraging captive resources, the country has aggressive plans to reconfigure the transportation fuel mix with biofuels. Biofuels are an integral part of India’s flourishing Bioeconomy that plays a significant role as a sustainable climate action tool.
