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March 26, 2024

The Biomass Programme by the Ministry of New and Renewable Energy (MNRE) in India

The Biomass Programme by the Ministry of New and Renewable Energy (MNRE) in India aims to support the establishment of Biomass Briquette/Pellet manufacturing plants and promote Biomass (non-bagasse) based cogeneration projects in industries across the country. Here are the key features of this program:

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  1. Briquette/Pellet Manufacturing Plants:
    • Central Financial Assistance (CFA) is provided to project developers.
    • The maximum CFA per plant is ₹45 Lakhs.
    • The assistance is based on the manufacturing capacity, with ₹9 Lakhs per metric ton/hour (MTPH).
    • Self-funded projects are also eligible for CFA.
    • New equipment/machinery installations qualify for assistance.
    • SCADA System/remote monitoring is mandated for Biomass projects.
  2. Biomass (Non-bagasse) Cogeneration Projects:
    • CFA is available based on the installed capacity.
    • The maximum CFA per project is ₹5 Crores.
    • The assistance is ₹40 Lakhs per MW.
    • Applications are accepted through an online portal.
    • Self-funded projects are eligible for CFA.
    • SCADA System/remote monitoring is also required for these projects.
  3. Application Process:
    • Proposals for “In-Principle” approval of CFA are submitted through the BioURJA Portal before commissioning.
    • For projects with debt/loans, the Ministry issues approval with concurrence from relevant authorities.
    • The commissioning period is 12 months for Briquette/Pellet Manufacturing plants and 24 months for Biomass cogeneration plants from the date of “In-Principle” approval.
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For more details, you can refer to the administrative approval document provided by the MNRE1. If you have further inquiries, feel free to reach out to Sh. Vikram Dhaka from the Biomass Division via email: [email protected].