The Hindu Business Line : YSR sees bright future for bio-diesel plantations

Industry & Economy - Non-conventional Energy
Agri-Biz & Commodities - Plantations

YSR sees bright future for bio-diesel plantations — Jatropha seeds to be paid Rs 6 per kg

Our Bureau

Hyderabad , Sept. 7

THE industry in Andhra Pradesh had agreed to pay Rs 6 per kg of jatropha seed instead of Rs 5 in an immediate response to the appeal of the Chief Minister, Dr Y.S. Rajasekhara Reddy, to increase the price so that the farmers would be encouraged to raise bio-diesel plantations.

Addressing `Bioleum 2004', a national seminar on bio-fuels held here on Tuesday, the Chief Minister urged the industry to offer a higher price for the farmers and, on behalf of the industry, Mr O.P. Goenka, President of the Federation of Andhra Pradesh Chambers of Commerce and Industry (FAPCCI), said that the price would be raised by Re 1 per kg as sought by the Chief Minister.

The one-day seminar was jointly organised by FAPCCI, the State Government and Sampad Farms & Consultants, an agriculture consultancy firm.

The Chief Minister said there was enormous future for bio-diesel plantations in the country. "I see a new revolution in this field. This is an area of growth that provides an income source to dryland farmers".

Stating the he always advocated development of renewable energy sources as an alternative to non-renewable conventional energy sources, Dr Reddy said that his Government wanted to bring 2.5 lakh acres of land under bio diesel plantations this year but non-availability of the required seed had been a major constraint.

Consequently, bio diesel plantations have been taken only in an extent of about 70,000 acres in the current year and efforts would be made to bring more and more land under such plantations in the coming years.

With the Planning Commission also taking the initiative to promote bio diesel plantations, the Chief Minister felt that substantial quantity of bio diesel would be produced in the country in the next five years. Large-scale cultivation of bio diesel plantations would also be helpful in rejuvenating the estimated 100 million hectares of wasteland in the country.

He, however, wanted agricultural institutions and scientists to conduct more research on bio diesel plantations so as to improve their quality and productivity.

Dr Reddy lamented that though India had been a signatory to the Kyoto Protocol, little had been done to create alternative energy sources. It was time to decrease our dependence on fossil fuels which, given the exponential growth in their consumption, would not last for another 150 years.

Earlier, welcoming the gathering, Mr O.P. Goenka said that if farmers were paid Rs 5 per kg of jatropha seed, the end price of diesel produced would be about Rs 25 per litre.

This included the cost of production of expelling, extraction, refining and all other costs such as trans-etherification to get fatty and methyl ester and glycerine.

The Associate Director of TERI (Tata Energy Research Institute), New Delhi, Mr Alok Adholeya, said that the bio diesel sector could take care of the rural energy needs in the country.

It would also provide ample opportunities to the farmers, entrepreneurs and even big business houses. He also emphasised that there was a great need for taking indigenous research in this regard.

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