They are talking about the excess part of the jatropha plant being used for this ethenol - the seed for the oil and all the rest to go on to produce cellulosic ethanol - imvho.

Cellulose – Cellulose is the fibrous substance which is contained in leaves, stems, and stalks of plants and trees. It is the most abundant organic compound on earth and can be used to produce bioethanol.

Cellulosic ethanol - Cellulosic ethanol is ethanol fuel produced from cellulose, a naturally occurring complex carbohydrate polymer commonly found in plant cell walls. Cellulosic ethanol is chemically identical to ethanol from other sources, such as corn or sugar, and is available in a great diversity of biomass including waste from urban, agricultural, and forestry sources. However, it differs in that it requires an extra processing step called cellulosis – breaking cellulose down into sugars.