If all goes well, the Bhoramdeo Sugar Mill will produce bio-fuel for vehicles apart from sugar in Kadirdham district.
The State Government has planned to set up an ‘Ethanol Plant’ near the Sugar Mill, officials informed.
About Rs 70 crore would be invested in setting up of the plant, which will produce Ethanol from Molasses- which is a by-product obtained during Sugar production.
The State government has given in-principle approval for setting up of the plant.
“On the back side of sugar mill in about 30 acres, land is lying vacant where the Ethanol plant will be established. The State Government has given in-principle approval for setting up of the Rs 70 crore plant,” KN Khande Managing Director Bhoramdeo Sahakari Shakkar Karkhana Maryadit said.
According to an estimate, 65 lakh liters of Ethanol will be produced in one season that would be mixed with petrol used in vehicles as a fuel. Currently, a 6 MW power plant is also functioning at sugar mill that will also provide power to the proposed Ethanol plant.
Notably, in every season 25,000 metric tonnes of Molasses is produced at the sugar mill which is sold to ‘Gudhakhu’ and liquor factories that fetch Rs 12.50 crore for the plant. However, once the Ethanol plant starts functioning in full swing, it would generate profit of about Rs 27.63 crore, officials claimed.