In a bid to curb pollution in the city, the Calcutta Tramways Corporation (CTC) has decided to switch to bio-diesel for its fleet of 300-odd buses, of which 250 are currently plying.

The CTC, which signed a memorandum of understanding with Emami Biotech Ltd today for regular procurement of bio-diesel, said the move will lead to twin benefits of reduced cost and lower emissions.

The transport body that began shifting to bio-diesel mode from February 2 will be saving around Rs 2 lakh per month since the cost of bio-diesel being offered is lower by Re 1 to Rs 1.50 than the actual price of conventional diesel.

While at present, the CTC is looking at 25 per cent of bio-diesel procurement to remix with diesel, officials say the percentage will be raised soon. Emami will be able to meet the CTC’s monthly requirement with less than a day’s production at its Haldia plant that produces 300 tonnes of bio-diesel a day.

“We had a trial run of the bio-diesel from the company and saw it emits 35 per cent less pollutants than what the vehicles with normal diesel do. Financially, what we gain is yet to be seen,” said CTC managing director PK Chattopadhyay.

“Usually, organisations are concerned with the fuel mileage and whether it will harm their engine. No one is bothered about environment and the need to shift to cleaner fuel in West Bengal,” said Manish Goenka, director, Emami group, which is in talks with Kolkata Municipal Corporation, Kolkata Police along with power utilities like CESC and West Bengal State Electricity Board and mineral mining firms for the promotion of bio-diesel.