Under the MoU, HPCL will hold 74 per cent equity and CREDA will hold 26 per cent equity in the JV company.
The entire yield of Jatropha seeds from 15,000 hectares of land would be sold exclusively to HPCL - which will in turn produce bio-diesel through suitable chemical processes and market the product through a network of retail outlets across the state.
HPCL has already carried out successful extensive field trial of bio-diesel on 25 BEST buses in Mumbai.
It had earlier signed an MoU with G B Pant University of Agriculture & Technology in Uttarakhand for experimental cultivation of Jatropha.
CREDA is a state government body under Department of Energy (DoE)constituted for the development of renewable energy sources in the state of Chhattisgarh. It will be responsible for obtaining wasteland for plantation of Jatropha from the Government of Chhattisgarh under the project.
