This was one of the initiatives in PCRA -- Who knows, Jatropha always has a potential of contributing upto 5 % of country's Petroleum requirement. So some day such a project may take off.
MEMORANDUM OF UNDERSTANDING
On
NEDFi - PCRA BIODIESEL PROJECT FOR NORTH EAST
Between
NORTH EASTERN DEVELOPMENT FINANCE CORPORATION LIMITED, GUWAHATI
And
PETROLEUM CONSERVATION RESEARCH ASSOCIATION,
NEW DELHI
Signed on Friday, 20th October, 2005
NEDFi – PCRA BIODIESEL PROJECT FOR NORTH EAST
The Memorandum of Understanding made on 20th of October, 2005 between North Eastern Development Finance Corporation Limited, acting in its executive capacity through the Chairman & Managing Director, NEDFi, Basundhara Enclave, B.K.Kakoti Road, Ulubari, Guwahati 781 007, Assam, hereinafter referred to as “NEDFi”, (which expression shall, unless to be repugnant to the context or meaning thereof, mean and include all its officers, successors and assigns) OF THE FIRST PART and Petroleum Conservation Research Association, acting in its executive capacity through the Joint Secretary & Executive Director, PCRA, Ministry of Petroleum & Natural Gas, Sanrakshan Bhavan, 10 Bhikaiji Cama Place, New Delhi 110 066 hereinafter referred to as “PCRA” (which expression shall, unless to be repugnant to the context or meaning thereof, mean and include all its officers, successors and assigns) OF THE OTHER PART.
North Eastern Development Finance Corporation Ltd. (NEDFi) is a Public Financial Institution with its registered office at Guwahati, Assam. NEDFi works for the development of industries, infrastructure, animal husbandry, agri-horticulture plantation, medicinal plantation, sericulture plantation, aquaculture, poultry and dairy in the North Eastern states of India. NEDFi has been promoted by All India Financial Institutions - Industrial Development Bank of India, ICICI Ltd., Industrial Finance Corporation of India, Small Industries Development Bank of India, Insurance Companies - Life Insurance Corporation of India, General Insurance Corporation and its subsidiaries, Investment company - Unit Trust of India and Bank - State Bank of India.
Petroleum Conservation Research Association (PCRA) is a non-profit registered society working under the aegis of the Ministry of Petroleum & Natural Gas, Govt. of India. PCRA is working to formulate strengths and promote measures for accelerating conservation of petroleum products leading to environment protection, energy security and sustainable development.
Whereas NEDFi and PCRA intend to collaborate in an arrangement to promote development and use of Biodiesel in the North East in convergence with all concerned agencies on the terms and conditions given hereunder, it is hereby agreed and declared as follows:
- NPBP, as would be referred hereinafter for “NEDFi – PCRA Biodiesel Project for North East”, would target to meet the following objectives of promoting and developing the use of Biodiesel in the North East:
- To make the farmers aware of economic implications of Jatropha plantation,
- To train the farmers on agro-practices of Jatropha plantation,
- To motivate the unemployed youths to take up oil extraction and sell it to Biodiesel producers,
- To motivate small/medium scale entrepreneurs to set up transesterification plants and produce Biodiesel by feeding them information on supply of plant and machineries and selebility of Biodiesel,
- To motivate consumers to use B5 (5% blend of Biodiesel with Petro-diesel) to B10 (10% blend of Biodiesel with Petro-diesel) by providing them information on technical feasibility of Biodiesel blending in existing Engines.
- To forge marketing tie-ups for Biodiesel.
- PCRA is already trying to promote market for Biodiesel in the country by submitting Policy Notes / holding discussions / giving Presentations to various Govt. Bodies. Hence it is expected that a good Biodiesel Market would be developed in the country very soon. PCRA and NEDFi would jointly continue to promote the Market.
- NPBP would entail the following illustrative activities:
3.1 Create Northeast Biodiesel Center in the premises arranged by NEDFi at Guwahati as the nodal information point for assimilating integrated information related to Biodiesel, in line with PCRA’s existing National Biofuel Center in Delhi. The Center would exhibit information ranging from Seed to yield, economic analyses, Plant & Machinery, Model Transesterification Plant etc.
3.2 Provide technical inputs for developing the above under the headings of (i) Need for Biodiesel in India, (ii) Jatropha Production & its economic benefits, (iii) Demand of Diesel and Employment opportunity through Jatropha Plantation, (iv) Why only Jatropha for Biodiesel, (v) Steps for Jatropha Plantation, (vi) Institutions working in the field of Biodiesel in India, (vii) PCRA’s efforts towards Biodiesel, (viii) Process of Bioiesel Production, (ix) Other benefits of Biodiesel Production, (ix) Benefits of Biodiesel Production from Ratanjot, (x) Bio-Ethanol, (xi) Successful Investigation of Biodiesel and (xii) Fuel for Vehicle – Ethanol Mixing.
3.3 Develop and design literatures on Biodiesel in Assamese & English for generating aggressive awareness. All literatures developed on Biodiesel for North East will bear the logos of both NEDFi and PCRA.
3.4 Print the Literatures in big quantities.
3.5 Distribute these Literatures to target audience.
3.6 Produce Films, clippings on Biodiesel in Asssamese and English to educate farmers, entrepreneurs, manufacturers and buyers.
3.7 Media Publicity in Print & Electronic Media.
3.8 Use ongoing TV program “Khel Khel Mein Badlo Duniya” of PCRA on NETV and Radio Program “Boond Boond Ki Baat” on Primary Channel, Guwahati to promote Biodiesel in North East.
3.9 Hold Workshops / Seminars on Biodiesel for farmers, small/medium scale entrepreneurs / Perspective consumers / Bankers / Policy Makers.
3.10 Develop Faculty for NEDFi for undertaking such Workshops / Seminars.
3.11 Tie up Suppliers for supply of authenticated Jatropha seeds for Jatropha plantation.
3.12 Make schemes and arrange for Training on Agro-Practices of Jatropha to Farmers / Retired Army Personnel / Unemployed youths with special emphasis on land pattern of Assam.
3.13 Tie up with Certified Suppliers for supply of Medium Scale Plant, Machineries for setting up Biodiesel Plant.
3.14 Make presentations to various authorities to motivate them on buying biodiesel.
4 Both the parties estimate that the break-up of expenditure for all the activities listed from 3.1 to 3.14 above will be as follows:
· Part A: 50% Cost on Conceptualization / Planning, Design / Development of Literatures, Program Contents, Audio Visuals, Other Software etc.
· Part B: 50% Cost on Event Management & Execution of the Programs.
For each of the activity listed from 3.1 to 3.14 above, NEDFi and PCRA will mutually decide if that activity (fully or partly) will be taken up by NEDFi or PCRA as per respective expertise.
5 NPBP will be completed within a period of 3 years in 2 phases. Duration of Phase-I will be 6 months from the date of signing of MOU, during which the activities mentioned above will be taken up aggressively in order to educate the masses of North East on Biodiesel.
6 A broad calendar of events will be prepared within 10 days of signing of MOU showing the list of events to be undertaken by PCRA and NEDFi
7. Total Projeect Cost will be in the range of 3-4 Crores (Rupees Three to Four Crores). NEDFi shall make the Fund arrangements.
8. At the end of Ph – I of the Project, NEDFi is expected to attract clients for loans, viz. Farmers, Oil Extractors, Plant Manufacturers, Biodiesel Producers and Big Oil Users.
9. PCRA will award Credit Points per se to various concerns, organizations as per its existing rules of Biodiesel Credit Bank (Ref: visit www.pcra.org).
10. During Phase II, PCRA and NEDFi will jointly develop Clean Development Mechanism (CDM) Projects for submission to International Agencies for availing grants under CDM Project scheme.
11. NEDFi and PCRA will share the grants 50-50 received against CDM Projects, if any.
This MOU is signed on Friday, the 20th October, 2005 by Shri K.N. Hazarika, Chairman & Managing Director on behalf of North Eastern Development Finance Corporation Limited (NEDFi) and by Smt. Leena Mehendale, Joint Secretary & Executive Director on behalf of Petroleum Conservation Research Association (PCRA).
…………………………….. ………………………
(K.N.Hazarika) (L.Mehendale)
For NEDFi For PCRA
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