Praj Industries is planning to set up an integrated second generation cellulosic ethanol plant at Shirala in Sangli district of Maharashtra.

The proposed project is expected to be established with an investment of Rs 145-150 crore. Viraj Alcohols & Allied Industries will provide the land and allied services for the project. The second generation cellulosic ethanol demo plant will operate on variety of biomasss with a capacity of 100 dry tonne of biomass per day, which includes agricultural wastes such as corn stover, cobs and bagasse.

The demo plant will enable Praj to consolidate its six years of research and development efforts, starting with laboratory trials to pilot scale trials. The same plant will also enable Praj to develop various biochemicals and bioproducts. The demo plant will seek to demonstrate various technical parameters including optimization of water and energy integration and its impact on the capex and opex. The plant will also develop the entire value chain including biomass handling and biomass composition and its impact on the operations.

Pramod Chaudhari, Executive Chairman of Praj Industries has laid foundation stone for the project.