India, Finland to produce ethanol

Will cut Indian imports of this product.

India signed an agreement with Finland to produce indigenous ethanol in a first-of-its-kind initiative to promote use of clean technologies.

State-run firm ONGC and Finnish clean technology firm Chempolis will run a pilot project to produce ethanol, bio-chemicals and bio-coal from biomass residual matter.

The project will utilize wheat straw that is currently being burnt and not put to productive use. ONGC Chairman Sudhir Vasudeva said the project is will convert cellulose into ethanol. He said ONGC has developed a technology where all cellulose-based waste products can be converted into ethanol.

Chempolis president (Asia-Pacific-America) Pasi Rousu said the project is expected to be commissioned in 18 to 24 months' time.

India is also looking at collaboration with clean technology firm Ripasso to convert solar energy into thermal energy.

The agreement was signed by Finnish Minister for European Affairs Alexander Stubb and India's Minister of State for Petroleum and Natural Gas Panabaka Lakshmi.