CCEA approves CREDA HPCL Biofuel Ltd’s closure

The Cabinet Committee on Economic Affairs (CCEA) has approved the closure of CREDA HPCL Biofuel Ltd (CHBL) and Indian Oil – Chhattisgarh Renewable Energy Development Agency (CREDA) Biofuels Limited (ICBL). A JV between CREDA HPCL Biofuel Limited (CHBL) and Indian Oil-CREDA Biofuels Limited (ICBL) was formed in 2008-09 for planting energy crop Jatropha and generating bio diesel. However, the project was a failure due to very poor seed yield, the limited availability of wasteland and high plantation maintenance cost. The project became unviable and Jatropha plantation activities were discontinued. According to the CCEA, the closure of CHBL and ICBL will save unfruitful expenditure on statutory compliance.

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