Assago industries to set up Rs 270 cr BioEthanol plant in AP

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Assago Industries, a fast-growing Bio-Fuel producing company on Thursday announced to set up an Ethanol producing Plant at APIIC Industrial Park in Gummalladoddi in East Godavari district of Andhra Pradesh with an investment of Rs 270 crore.

Andhra Pradesh Chief Minister Y S Jagan Mohan Reddy will lay the foundation stone for the Ethanol plant on Friday, the Deli-based company said in a release.

The greenfield project will be a Grain-Based Zero Liquid Discharge plant with a capacity of 200 Kilo Liters Per Day (KLPD).

The project will generate employment for over 100 direct and 400 indirect jobs with support from the AP Government’s Industries Department, APIIC, and District officials.

Spread across 20 acres, the plant is equipped with state-of-the-art machinery.

Assago Industries will be producing BioEthanol through residual broken rice and grains procured locally from Andhra Pradesh.

Commenting on the announcement, Mr. Ashish Gurnani, Managing Director of Assago Industries, said “It’s a proven fact that Ethanol is going to be one the most preferred fuel alternatives. We are pleased to play a role in making Andhra Pradesh a leader in Green Renewable Fuel with our investment and position the state as an alternative energy hub in the future.

The project shall also indirectly benefit hundreds of farmers and the local community at large as surplus, residual, and spoilt food grains are used as feedstock.

These residues can be leveraged into motor fuel Ethanol creating additional revenues for farmers. Today with infrastructure and technological advancements that we are equipped with, it’s time to apply the same to accelerate the production of BioEthanol as a reliable fuel source.

Andhra Pradesh is working towards accelerating utilizing BioEthanol as a fuel, he added.

“It is estimated that 1 Crore Litre of Ethanol blended Petrol can save around 20,000 tons of CO2 emission. Thereby in the last 7 years, apart from lowering CO2 Emissions by 192 Lakh tons, around Rs. 26,509 Crore.

Cumulative Foreign Exchange Saving has been achieved by India due to the usage of Ethanol. We aim to further grow this impact manifold starting production in 2024 from this new plant.” Mr Gurnani added.

The project is aligned with Prime Minister Narendra Modi’s vision for India to reduce oil imports and achieve self-sufficiency with green fuel. Ethanol is considered as one of the green fuels that can be used as an alternative fuel solution for petrol.

This not only reduces the tailpipe emission level of pollutants but brings flexibility as well. Various countries are promoting Ethanol use in vehicles with several automakers manufacturing their vehicles with flex-fuel engines.