Mahalaxmi Rubtech to get carbon credits
Tuesday, 06 May 2008, 19:30 IST
Ahmedabad: Mahalaxmi Rubtech, a group based here and engaged in the manufacture and export of textiles, rubber and chemical products, has had its clean development mechanism (CDM) project to use waste wood and sawdust in five of its boilers approved by the United Nations Framework Convention for Climate Change (UNFCCC). The approval makes the firm eligible to claim and sell carbon credits (CCs). The group communicated the UNFCCC approval to the Bombay Stock Exchange Tuesday. The announcement said the project would result in direct revenue gains, though its finance director Rajendra Mehta said it was not possible now to quantify the benefit. According to UNFCCC's executive board for CDM projects, the group's activities met the criteria for small scale CDM project activity under the renewable energy project category. Five boilers in two group companies - Mahalaxmi Fabric Mills (MFM) and Mahalaxmi Rubtech Limited (MRT) - used waste wood and sawdust instead of coal and lignite. MFM is located at Narol on the outskirts of Ahmedabad while MRT is located at UMA industrial estate in Vasna Iyava village in Ahmedabad district.