In one of the biggest initiatives for bio-fuel production in the country, Indian Railways is poised to set up four bio-diesel plants costing about Rs 120 crore.
Two plants will be commissioned at Raipur and Chennai during the next two years, and the other two units will be set up subsequently. Each plant, estimated to cost around Rs 30 crore (US$6.6 million), will produce 30 tons of biodiesel per day, or more than 9,000 tons a year (more than about 10.2 million liters per year, or about 2.7 million gallons US per year), the official said.
The biodiesel will be blended with petroleum diesel for running locomotives. Indian Railways currently uses about 2.2 billion liters (581 million gallons US) of diesel per year.