Pradhan releases EOI by Oil Marketing Companies for Biodiesel made from UCO

Speed Post News Network

New  Delhi : Petroleum and Natural Gas & Steel Minister Dharmendra Pradhan on August 10, 2019, released the Expression for Interest (EOI) by National Oil Marketing Companies (IOC, HPCL and BPCL) for procurement of Biodiesel, made from Used Cooking Oil (UCO).

On the Occasion of the World Biofuel Day on August 10, Pradhan, along with the Chief Guest– Health & Family Welfare, Science & Technology and Earth Sciences Minister Dr Harsh Vardhan, launched a sticker on RUCO viz., Repurpose Used Cooking Oil and a mobile app to facilitate the collection of UCO. This year the theme of the World Biofuel Day is “Production of Biodiesel from Used Cooking Oil (UCO)”.

The EOI on Bio-diesel from UCO provides that the entrepreneurs setting up Biodiesel plants get remunerative price and assurance of complete offtake of production by the Oil companies. To be launched in 100 cities, EOI will ensure that Rs 51 litre is paid for Biodiesel for the first year, Rs 52.7 for the second year, and Rs 54.5 for the third year. The Oil companies will also bear the cost of transportation and GST for the first year.

Speaking on the Occasion, Pradhan said that the Prime Minister has given a target to the Ministry of Petroleum and Natural Gas to bring down import dependency of oil products by 2022, and this can be achieved by enhancing production, improving energy efficiency, promoting conservation and encouraging alternate fuels.

He said that the government is promoting the alternate sources of energy in a big way. Ministry of Petroleum and Natural Gas is working on a four-pronged strategy in this regard -promoting Ethanol, 2-G ethanol, Compressed bio-Gas, and Bio-diesel. Pradhan said that the ethanol blending in Petrol has gone up from 1% to about8% and is likely to touch 10% soon. He said the Government is planning to allow production of ethanol from surplus foodgrains which now sometimes go waste and also entail expenditure on storage, according to a PIB release.