In a significant move to support the biodiesel industry, the Odisha government, led by the BJP, has approved an exemption for methanol (methyl alcohol) used in biodiesel production. The decision, made during a state cabinet meeting on August 7 chaired by Chief Minister Mohan Majhi, exempts methanol from both import fees and excise duty. This initiative is expected to reduce production costs and encourage the growth of biodiesel manufacturing in the state.
Legislative Approval and Strategic Economic Initiatives
Parliamentary Affairs Minister Mukesh Mahaling announced this decision in the Odisha Assembly, emphasizing that it was made possible under Section 96 of the Odisha Excise Act, 2008. The state cabinet’s approval effectively removes methanol, a critical component in biodiesel production, from the purview of the act, thereby simplifying the process for producers to access this essential chemical.
This exemption aligns with the government’s broader strategy to promote sustainable energy alternatives and reduce dependency on conventional fossil fuels. By lowering the financial burden on biodiesel producers, Odisha aims to position itself as a leader in renewable energy within India.
Infrastructure Development Through Land and Tax Exemptions
The cabinet meeting also saw the approval of several land and tax exemptions to drive infrastructure development in the state. Notably, the government waived a stamp duty of Rs 3.37 crore and a registration fee of Rs 1.13 crore for a lease deed involving over 107 acres of land. This land, consisting of both government and private properties, is being allocated to the Airports Authority of India (AAI) for the development of the Veer Surendra Sai Airport in Jharsuguda. This airport is set to become Odisha’s second commercial airport, enhancing the state’s connectivity and economic prospects.
Support for Specially Challenged Persons
In addition to supporting the biodiesel and aviation sectors, the cabinet also made provisions for expanding facilities for specially challenged individuals. The government approved the lease of 1.710 decimals of land for the Composite Regional Centre under the Swami Vivekanand National Institute of Rehabilitation Training and Research (SVNIRTAR). This expansion will enhance amenities for specially challenged persons, with the land being provided without any premium or additional costs, effectively exempting Rs 11.07 crore in expenditures.
These decisions reflect Odisha’s commitment to fostering economic development while also addressing social and environmental needs, marking a comprehensive approach to governance.
(With inputs from agencies)
