The Silicon Review ^Asia

IOT Infrastructure and Energy Services have made an announcement that it will bring changes to its biogas plant in Tamil Nadu. The company is jointly managed by the Indian Oil Corporation and Germany’s Oiltanking GmbH and is looking to produce environment-friendly CNG for vehicles. Apart from the new move, the company also intends to set up more Greenfield projects for clean auto fuel.

As per the director of IOT, the company has been using biogas to run the power plant and later found that, if they manage to increase the methane concentration then they will be able to convert it into bio-CNG for vehicles. This would directly help India to cut the direct dependency on liquid fuels.

Since the company’s power is being generated at its plant in Namakkal, Tamil Nadu, the company has decided to invest Rs 25 crores to use new technology which could convert the plant to a bio-CNG unit with a daily output of 12,000 kg.

The company aims to sell bio-CNG from July this year. Apart from the new plan, IOT will establish 5 new Greenfield projects in the time frame of 2-3 years. For the future developments, IOT is in talks with various companies which have agro waste that serve the company as feedstock.

The company is also looking to hold talks with oil companies to sell the bio-CNG. The main motive is to build manufacturing units in small numbers where feedstock is available ad then sell the product in areas closer to the plant.