GAIL India Limited and TruAlt Bioenergy signed a Term Sheet for GAIL’s equity participation in TruAlt’s joint venture company Leafinti Bioenergy Limited.
The Investment in setting up the Compressed Bio Gas (CBG) plant will exceed over $72 million and will be funded through a combination of debt and equity.
TruAlt Bioenergy and GAIL India’s shareholding in the JV would be 51% and 49% respectively.
Each unit will have a capacity of 10,000 kgs per day (TPD) resulting in a daily production of 100,000 kgs of CBG.
The JV company will process over 600 million kgs of organic waste like agricultural residue, sugarcane press mud, spent wash (waste generated during ethanol production) and other decomposable waste per annum, to produce over 33 million kgs of CBG, nearly 20 million kgs of Solid Fermented Organic Manure (SFOM) and over 30 million kgs of Liquid Fermented Organic Manure (LFOM) per annum.
The JV aims to create a robust ecosystem for the production of CBG from diverse waste and biomass sources alongside the growing potential of CNG.
A significant boost to the local and agrarian economies will result in employment opportunities for over 600 individuals while simultaneously providing immense ecological benefits.
Speaking on the occasion, Shri Rajeev Kumar Singhal, Director (Business Development), GAIL said, “CBG has emerged as a viable alternative to imported fossil natural gas. The signing of the Term Sheet is a step in the right direction considering the emphasis on cleaner and greener fuel and country’s vision of Atmanirbhar Bharat.”
On the establishment of the partnership, Vijay Nirani, Founder and Managing Director, TruAlt Bioenergy said “We have been spearheading the production of Ethanol and various other Biofuels since 2012, to advocate for more sustainable energy practices. With the immense support of the Government of India to create a Biofuel based Economy, TruAlt Bioenergy has emerged as one of the leading dedicated Bioenergy companies and also one of the largest contributors to India’s landmark Ethanol Blended Petrol (EBP) program. Through this partnership we aim to create a robust ecosystem for CBG in India allowing for a smooth transition to economical and ecological sources of energy.”
Subhransu Sekhar Biswal, Director, Leafinti Bioenergy said, “This is indeed an important milestone for us and will revolutionize the bioenergy landscape. Other than Biogas the plants will also yield fermented organic manure which can be used for organic farming and contribute to sustainable agriculture practices. This venture is expected to employ over 600 people”.
TruAlt Bioenergy through its wholly owned subsidiary, Leafiniti Bioenergy Limited owns and operates India’s 2nd CBG plant that was established under the Sustainable Alternative Toward Affordable Transportation (SATAT) scheme in the year 2021.
