o Local legislation (incentives/mandatory usage, possibly linked to usage of local

feedstock, import/export tax on feedstock and/or biodiesel) – Biodiesel is exempted

from excise duty. No other Central taxes and duties are proposed to be levied on bio-
diesel. Jatropha incentives in India are a part of India's goal to achieve energy
independence by the year 2012. Jatropha oil is produced from the seeds of the
Jatropha curcas, a plant that can grow in wastelands across India and the oil is
considered to be an excellent source of bio-diesel. The Government of India has
identified 400,000 square kilometres (98 million acres) of land where Jatropha can be
grown.

o Major competitors, type of feedstock used, location/capacity of the plants

(coastal/inland etc you could verify the attached file even if not duly updated) –
1. D1 Williamson Magor Bio Fuel Limited – It is a joint venture company between D1
Oils plc, UK and Williamson Magor Group, India. This biodiesel initiative was
incorporated in July 2006. The company promotes Jatropha Plantations on the
wasteland possessed by the farmers in the the States of Assam, Arunachal Pradesh,
Manipur, Meghalaya, Nagaland, Tripura (North East India), Orissa and Jharkhand.
The Company has a network to manufacture bio-diesel from the oilseeds harvested
by the farmers.
2. Naturol Bioenergy Limited – It is a joint venture between Energea Gmbh (Austria)
and Fe Clean Energy (United States). Energea is a technology supplier in biodiesel
and has built several plants in Europe. Fe Clean, a private equity fund dedicated to
clean energy projects has financed the project. It has setup India's First Integrated
Oleochemical Complex to produce Biodiesel and allied products strategically
located at the port of Kakinada. Naturol has a production capacity of 30 million
gallons per year of biodiesel and 10,000 tonnes per year of pharmaceutical grade
glycerin. Naturol is backed by a syndicate of Venture Capital investors and debt.
The company is structured as 100% Export Oriented Unit enabling tariff free
imports and tax concessions. It commenced commercial production in April, 2008.
Plant has a pretreatment to enable usage of a wide variety of crude oils instead of
refined oils and ability to use cheaper fatty acid oils.
3. Southern Online Biotechnologies – It is an Internet service provider based out of
Andhra Pradesh which moved into Bio-Diesel production in 2003. The first bio diesel
plant (designed by LURGI/Germany and built by their Indian licensee CCI) was
commissioned in July 2007. The production capacity is 30 tons. SBT is constructing
its 2nd bio diesel unit in Vizag with a production capacity of 250 tons. Feedstock is
Pogammia Pinnata/Jatropha CCIL has an exclusive technical collaboration with
Lurgi Life Sciences of Germany, a leader in fatty acids, glycerol and biodiesel
technologies

o Diesel/gasoline consumption 2009 and forecast 2010 - India’s demand for petroleum
products during 2008-09 is estimated to be around 133.4 million tonne (mt). It is
forecasted to rise 140 million tonne.

o Diesel/gasoline price – Though prices for Petrol & Diesel vary across states in India
particularly metropolitan cities, price for petrol & diesel on average can be around
Rupees 50 & 38 respectively with 1 US $ = Rupee 45. Though Diesel/gasoline prices are
controlled by the government in India, prices differential is due to different tax rates
in various states.
 o Local feedstock cost (I assume they mainly use palm…) - In India, non-edible oil is most
suitable as biodiesel feedstock since the demand for edible oil exceeds the domestic
supply. It is estimated that the potential availability of such oils in India amounts to
about 1 million tons per year; the most abundant oil sources are sal oil (180,000
tonnes), mahua (180,000 tonnes), neem oil (100,000 tonnes) and Pongamia Pinnata,
also known as Karanja oil (55,000 tonnes). However, it was decided to use Jatropha
Curcas oilseed as the major feedstock for India’s biodiesel programme. Jatropha was
originally developed in Central America and is a tree-borne oilseed which grows in dry,
arid land.

These costs estimates were given by planning commission of India in 2003.

Summary of cost of biodiesel production

Rate (Rs./kg) Quantity (kg) Cost (Rs.)
Seed 5.00 3.28 Rs. 16.40
Cost of 2.36 1.05 Rs. 2.48
collection
and oil
extraction
Less cake 1.00 2.23 -Rs. 2.23
produced
Transesterifi 6.67 1.00 Rs. 6.67
cation cost
Less cost of 40 to 60 0.095 -Rs. 3.80 to
glycerol -Rs. 5.70
produced
Cost of biodiesel per kg Rs. 19.52 – 17.62
Cost of biodiesel per litre (specific Rs. 16.59-14.98
gravity of 0.85)
Source: Planning Commission, 2003

Even if the credit for glycerol recovery and sale is neglected, the cost of biodiesel from
Jatropha oil at Rs. 21/litre ($0.47/litre) is very competitive with the manufacturing cost of
petroleum diesel.

o Local glycerine market, price etc both crude and pharma grade glycerine – Glycerol
price is around 50 Rupees/kg.

o Used cooking oil/animal fat market, volumes/prices and current main usage – India is a
leading player in edible oils, being the world’s largest importer (ahead of the EU and
China) and the world’s third-largest consumer (after China and the EU). Each year,
India consumes over 10 million tonnes of edible oils. Edible oils have a high penetration
of 90% in India. However, per capita consumption of edible oils is around 11 kg per
year. This is considerably lower than in most developed countries. Its main usage is in
cooking in India.

BIOPOWER (my main interest is production of electricity using vegetable oil/animal fat
feedstock)
o Local legislation (solid biomass/liquid biomass incentives and amount, feedin
tarifs/green certificates, constrains on the usage of local grown biomass, limits to the
capacity of the power plants. like <1MW or >1MW) - Indian government plans to create
2,100 megawatts of bio-power to add to its proposed target of generating 14,000 MW of
green or eco-friendly power by 2012. The 2,100 MW power would include 500 MW of
biomass power, 1,200 MW of baggasse co-generation and another 400 MWe of energy or
power from industrial and municipal wastes. The cumulative installed capacity, of
grid-interactive biomass and bagasse cogeneration power was 1,141 MW only, as on 31
March 2007.

o Availability of raw material (type, location, price, volume etc) – India has an
estimated potential of 23000 MW of Bio-Power potential of which only a small portion
is utilized as of now. This also indicates availability of raw material and the raw
material usage depends on the location in the country. In the northern parts of India,
like in the states of Haryana and Punjab, due to the practice of dry milling of paddy
rice, there is practically no captive consumption of husks within the rice mills. Thus,
large quantities of rice husks are available for use as fuel. There are no additional
efforts or costs involved in the collection of this biomass for use as an energy source.
Due to the availability of large quantities at any given location, rice husks can be put
to use for comparatively larger energy applications

o Any known players

1. Agri Gold - The Company originated with focus on Integrated Corporate Farming
and gradually developed into Agri Industrial Group, expanding into every system of
agricultural activity through productive blend of backward and forward integration
projects. The produce of agriculture including waste is processed to manufacture
value added products. With Food processing, Power Generation, Dairy, Milk and
Milk products, Housing and Real Estate Development, Entertainment Projects,
Exports, Mining, Organic Manures, Health & Beauty Care and Publications.

The extensive agricultural activity of the Company spread over thousands of acres
in its captive farms generates substantial quantities of the bio-mass waste which
otherwise is being burned and rendered useless despite the fact that it has good
calorific value for generating power using this as fuel. The location of the Plant is
in Prakasam district of Andhra Pradesh. The entire power generated after providing
for the internal consumption is being wheeled to the grid of the state Government.

It also acquired Clarion Power Corporation Ltd (CPCL) & Rithwik Energy Systems
Limited. CPCL is a 12 MW non-conventional power project using biomass as fuel.
Built at a cost of Rs 470 million it is the largest project of its kind in Andhra
Pradesh, The plant located near Tangutur village uses fuels such as juliflora, rice
husk, groundnut shell, saw dust and bengal gram husk. Rithwik Energy Systems has
a 6 Mw biomass-based power project in Chittoor district of Andhra Pradesh.

2. Arashi Hi–Tech Bio–Power - Located in Sultanpet, a village in Tamilnadu it is an

Independent Power Producer (IPP), working with the fixed bed gasifier based power
package linked to the Grid. Due to its coastal location, the village has an abundant
supply of coconut shells, which are used essentially as feedstock. It has a 1 MW
capacity power plant. Since 1.2 Kg/Hr biomass is required to generate 1 KWh, cost
of power generation comes to approx. Rs. 3 per KWh vis-à-vis Rs. 5.20 per/KWh,
which is the cost of Grid power, thereby offering Rs. 2.20 / KWh as savings. To
generate 1MW power on a continuous basis, 30 tons of biomass is required per day.
This biomass after undergoing the required processes produces approximately 1.5
 to 2 tons of charcoal per day, which is sold in the market by the customer at an
attractive price.

JATROPHA OIL

o Availability, expected volume/price – In India, total land available for the Jatropha
curcas plantations is around 13.4 million hectares with additional availability of 4
million hectares of wastelands. Approximate price is around US$ 43 per barrel. Its yield
is around 3000 KG per Hectare.