Attempting to downplay the ongoing controversy over the ownership of Swachh Bio, Telangana Industries Minister D Sridhar Babu said that what was signed was a generic MoU and no special incentives have been offered to them. He was responding to a question on the company at a press conference here on Saturday.
The Revanth Reddy-led Congress government in Telangana, had come under attack when the the Opposition party BRS raised questions on ownership of Swachh Bio, a lignocellulosic biofuels company, which has announced investment in State during the recent tour of the Chief Minister to the US.
BRS leader Manne Krishank questioned the deal worth ₹1,000 crore with Swachh Bio, a two-week-old company allegedly owned by the Chief Minister.
The Telangana Industries Minister said, though Swachh Bio has been recently incorporated, its international partner Suganit Biorenewables, has developed a patented and viable technology in producing biofuels and biochemicals from biomass and cellulose, which would add to the Telangana government’s active efforts towards sustainable and eco-friendly growth of the State.
Besides, they have raised enough resources and have big plans to set up multiple units in the State. According to the State government officials, the promoters have the wherewithal to invest the amount required to put up the manufacturing plant.
An official announcement after the MoU was signed said Swachh Bio would set up a 250KLPD second-generation, cellulosic biofuels plant in Telangana. The company had announced a capital investment of over ₹1,000 crore, in the first phase, which will provide employment to 250 people at the plant, and 250 people in additional support and other roles. The agreement was signed by Praveen Paripati, Chairperson, Swachh Bio.
On a question about Telangana wooing Adnai Group, the Minister said, “whosoever is willing to invest in the State we are open to them. State comes first...”
The State Chief Minister, in his Independence Day Speech had said, “The USA and South Korea tour derived fruitful results. We held talks with the 10 most popular global companies. The government entered agreements for ₹31,532 crore investments in Telangana. The MoUs with global companies will create 30,000 job opportunities. The government introduced Telangana as’ Future City’ before the world during the US visit.”