UK's Rika Biofuels to Set up Bio-gas and Bio-CNG Plants in Punjab

The Punjab government has signed a pact with the UK for setting up of bio-gas and bio-CNG plants in the state. A Memorandum of Understanding (MoU) was signed recently in the presence of Punjab Finance Minister Manpreet Singh Badal and Mr. Andrew Ayre, Deputy High Commissioner British High Commission, Chandigarh to pave the way for setting up of bio-gas and bio-CNG plants in the State, as part of the state’s concerted efforts to find sustainable solutions to paddy straw burning, which has emerged as a major environmental concern.

The MoU was signed with Rika Biofuels Development Ltd., UK, by Punjab Bureau of Industrial Promotion (PBIP) and Punjab Energy Development Agency (PEDA). Punjab Infrastructure Development Board (PIDB) will facilitate regulatory clearances and incentives by the State Government.

According to government officials, these plants will be based on a new patented anaerobic digester concept and straw extruding technology. Rika plans to build in excess of 10 bio-CNG plants with a total investment of $100-150-mn with the aim of having the first plant operational in 2019. The capacity of each plant will be around 100-tonnes per day of paddy straw.

These projects would promote sustainable agriculture practices by stopping burning which severely damages the soil. The digestate/bio manure, which is rich in organic and inorganic matter, gives a perfect mix of nutrients that promotes long term soil health and improves agricultural yield.