Praj Industries Limited (Praj), global leader in bio-ethanol technology has signed a memorandum of understanding (MOU) with Aker Kvaerner for strategic cooperation on bio-ethanol projects in Europe.
Praj Industries Limited (Praj), global leader in bio-ethanol technology has signed a memorandum of understanding (MOU) with Aker Kvaerner for strategic cooperation on bio-ethanol projects in Europe. The use of this renewable fuel, derived from plants or biomass, provides a significant reduction in overall CO² emissions compared to a traditional petrol only engine.
The European Union (EU) Bio-Fuels Directive has set a target of 5.75 per cent energy content inclusion of bio-fuels in the transportation fuel mix by 2010. Many EU countries are fast developing a fuel ethanol programme. France, Germany, Belgium, the Netherlands and others have announced either a policy or a grant for promotion of fuel ethanol.
In their new cooperation, Aker Kvaerner and Praj will unite their respective expertise to jointly pursue business opportunities. Praj will supply the process licence, process engineering, and critical and proprietary equipment for the process plant, while Aker Kvaerner's European Process business will provide basic engineering, procurement and construction expertise.
"As the demand for fuel ethanol grows, technology for production of bio-ethanol becomes more critical. We are therefore delighted to be cooperating with Praj in Europe. We see this as a synergistic alliance which will offer value to European customers in this important and expanding market segment," said Ronald van der Vlist, Director of Business Development and Technology, with Aker Kvaerner's European Process business.
Praj, based in Pune, specialises in technology, design, engineering, manufacture and supply of equipment for distillery plants, ethanol plants, brewery plants and related effluent treatment plants and is the owner of information related to various processes for the same.
"Praj has found acceptance for its technology in global markets. This alliance will further position Praj very favourably in Europe, as Aker Kvaerner is well respected for its engineering, procurement and construction capability worldwide," said Pramod Chaudhari, Chairman, Praj Industries Limited.
Praj also has plans to set up an operating base in the EU shortly to augment its marketing efforts.
As bio-ethanol is a renewable fuel derived from plants (such as cereals, sugar beet etc.) or biomass (such as wood waste), the primary environmental benefit is the reduction of CO² emissions. The use of bio-ethanol can lead to up to a 70 per cent reduction in overall CO² emissions compared to a traditional petrol only engine. Bio-ethanol used as part of the fuel, by blending with petrol, for a motor vehicle is called fuel-ethanol. Bio-ethanol can be blended in various proportions in petrol.