Monday February 28 2005 - A Japan-Bangladesh joint venture company toproduce bio-diesel, an alternative to petroleum fuel, from unused wastematerials and by-products by using the latest Japanese technology.

The Japanese company will set up a six-million-dollar plant, the first ofits kind in the sub-continent, to produce fuel (bio-diesel) for dieselengines and power generators by refining palm oil waste, the basicdistinction between palm oil and bio diesel being that the former is usedin food.

The model plant, which is expected to get operational within the next 14months, will be set up at Bhulta in Narayanganj. The average productioncapacity of the plant has been estimated at nearly 60,000 litres ofbio-diesel everyday.

Mohammad Selim, Chairman of the JB Bio Diesel Company, said at a pressbriefing yesterday in the city, "The bio-diesel will bring revolution inthe energy sector, as it has potentials of "zero emission" ofcarbon-dioxide, and is cost effective."

Shoei Fujita, Chairman of the Frontier of Japan - the Japanese companyinvolved in the project, said, "The company has a plan to set up suchplants at every district town of the country in phases, at the wake of itseffort to build a 'Oil Pump Eco Town'." "Besides, the company willcultivate palm trees through utilisation of modern technology to make thecountry self-reliant in palm oil waste."

Responding to a question, Shoei Fujita said: "Initially the company willimport palm oil waste from Indonesia and Malaysia for its bio-dieselplants."

He said, "Successful implementation of the project will make Bangladeshself-reliant in running diesel engines and power generators. Besides,millions of dollars will be saved, and huge foreign currencies earned byexporting bio-diesel," he added.

The successful completion of the project would be able to replaceconventional diesel with bio-diesel. Given the present Energy and Powersector demand of fuel, bio-diesel could be used to its full potential asan alternative source of energy supply, enabling the country, in turn, tosave a lot of foreign currencies that it presently spends on oil import.The total cost of the project has been estimated at US$ 60 million.