Bhubaneswar: Bharat Petroleum Corporation Ltd (BPCL) and Orissa University of Agriculture and Technology (OUAT) Sunday signed a MoU to develop, establish and promote paddy straw based bio-fuel production in state.
Director Refinery BPCL R Ramachandran and OUAT Vice-Chancellor Surendranath Pasupalak signed the agreement in the presence of Union Minister for Petroleum and Natural Gas Dharmendra Pradhan.
State Agriculture and Farmers Empowerment Secretary S Garg and senior officials of the BPCL and Orissa government were present at the MoU signing ceremony.
Speaking on the occasion, Pradhan said this was for the first time in the country an oil company signed an agreement with a University to conduct research and promote bio-fuel.
As per the agreement, BPCL will provide `5 crore and `2 crore towards the setting up of a BPCL bio-fuel Chair and `3 crore as research contingency for development, establishment and popularisation of the bio-fuel production technology for environment protection and to increase the income of farmers.
Orissa Minister for Agriculture and Farmers Empowerment Pradip Maharathy who was to grace the function as guest of honour, however, did not turn up.
Speaking on the occasion the Union Minister said the Union government has decided to set up 11 ethanol plants in the country including one at Baragarh in Western Orissa. The decision is taken in line with the policy decision to reduce the import of petrol, increase the fuel efficiency by mixing 10 per cent of straw based ethanol.
Pradhan said the construction of the `7,500 crore plant at Baragarh would start soon after the state government provided the required land for the purpose.
He said at present Orissa produces one crore tons of paddy straw. The straw is not used for any economic utilisation except as fodder and a few domestic purposes. The establishment of the plant would enhance the income of the farmers, reduce pollution and save foreign exchange.
The Union Minister said at present the country requires 3,000 crore litre of petrol and diesel and it is likely to touch 5,000 crore litre by 2022. If 20 per cent of the requirement could be generated from Agriculture waste then `one lakh crore out of the `7 lakh crore the country spends for importing petrol and diesel could be saved.
The OUAT will now conduct studies to find out the quality of straw available
in different district and their bio-fuel content.
Pradhan said the Union government is now working on a project to produce fuel from wastes generated in urban areas and other areas. The work in this regard will start soon.
The Union Minister suggested the OUAT to start an Agri-business incubation centre in the University to train the youths about the technique for marketing agriculture products of the state in as well as outside the country.
Pradhan also suggested the agriculture experts at the OUAT to advise and motivate farmers to go for cash crop to increase their income. He said hike in MSP of paddy is not the only way to increase the income of farmers.
UNI